Why you should commence your Chesham Bois lease extension

Top reasons for lease extension now:

Increase your lease and increase your Chesham Bois property value

Chesham Bois leases on residential properties are gradually losing value. The shorter the remaining lease term becomes, the less it is worth – and accordingly any extension of your lease becomes more expensive. It is the case that most Chesham Bois tenants have the right to extend their lease by an additional 90 years under the 1993 Leasehold Reform Act. If you are a leasehold owner in Chesham Bois you must investigate if your lease has between seventy and 90 years left. In particular once the remaining lease term slips under eighty years, the amount payable for any lease extension increases dramatically as an element of the premium you will incur is what is known as a marriage value

Chesham Bois property with a lease extension is almost the same value as a freehold

Leasehold premises in Chesham Bois with over 100 years left on the lease are sometimes referred to as ‘virtual freehold’. This is where the lease value the same as a freehold interest in your home. In such situations there is often little to be gained by purchasing the freehold unless savings on ground rent and estate charges justify it.

Lending institutions will not issue a mortgage with a short lease

The trend since over the last decade has been for banks to tighten lending criteria across the board - this has extended to the types of security over which the home loan is to be charged. This has resulted in the unexpired lease term required by lenders has increased. Historically banks were content with 25 years plus the term of the loan - typically 50 year leases but those requirements have been chipped away by the requirement for lengthy leases - many now have a minimum term of 75 years as a prerequisite.

What makes us experts in Chesham Bois lease extensions?

The conveyancers that we work with procure Chesham Bois lease extensions and help protect your position. A lease extension can be arranged to be completed to coincide with a change of ownership so the costs of the lease extension are paid for using part of the sale proceeds. You really do need expert legal advice in this difficult and technical area of law. The conveyancing solicitor we work with provide it.

Chesham Bois Lease Extension Example Cases:

Chloe, Chesham Bois, Buckinghamshire,

After lengthy negotiations with the landlord of her basement apartment in Chesham Bois, Chloe started the lease extension process just as her lease was coming close to the all-important 80-year mark. The legal work was finalised in February 2006. The freeholder’s costs were kept to an absolute minimum.

Chesham Bois case:

In 2010 we were approached by Dr Aarav Williams who, having bought a one bedroom flat in Chesham Bois in May 2009. We are asked if we could approximate the price would be for a 90 year lease extension. Similar residencies in Chesham Bois with an extended lease were worth £246,800. The mid-range ground rent payable was £60 invoiced every twelve months. The lease came to a finish on 23 February 2076. Given that there were 50 years remaining we estimated the compensation to the freeholder to extend the lease to be between £44,700 and £51,600 plus legals.

Chesham Bois case:

Last Christmas we were contacted by Mr and Mrs. W Walker , who purchased a first floor flat in Chesham Bois in September 2012. We are asked if we could shed any light on how much (roughly) price would be for a ninety year lease extension. Comparable homes in Chesham Bois with 100 year plus lease were in the region of £208,200. The average ground rent payable was £65 billed per annum. The lease ran out on 18 August 2087. Having 61 years as a residual term we approximated the premium to the landlord for the lease extension to be between £20,000 and £23,000 exclusive of costs.