Why you should start your Totterdown lease extension

Why you should start your Totterdown lease extension today:

A Totterdown lease depreciates with the years remaining on the lease.

The basic rule is, all other things holding equal, the shorter the lease the more expensive the premium. Qualifying leaseholders in Totterdown can extend the lease for a further ninety years under statute. Do give careful consideration before delaying your Totterdown lease extension. Putting off that expense today simply increases the premium you will ultimately be required to pay to extend the lease.

An extended lease is almost the same value as a freehold

It is generally considered that a residential leasehold with more than 100 years remaining is worth roughly the equivalent as a freehold. Where an further ninety years added to all but the shortest lease, the premises will be worth the same as a freehold for many years ahead.

Mortgage lenders will not lend on a short lease

Banks and Building Societies have set criteria when lending monies charged on leasehold property. Some will simply not lend at all once the remaining lease term falls beneath a specified unexpired lease term. Many Banks and Building Societies will not consider property with a remaining below 75 years suitable security. In addition to this being important when selling, it is also relevant if you are intending to remortgage your Totterdown home.

Why use us for your lease extension in Totterdown?

Using our service will provide you better control over the value of your Totterdown leasehold, as your property will be more valuable and marketable in respect of lease length should you decide to sell. The lawyers that we work with are well versed in the legislation handling many hundreds of lease extensions or freehold purchase transactions.

Totterdown Lease Extension Case Summaries:

Alicia, Totterdown, Bristol,

In the wake of 9 months of unsuccessful discussions with the freeholder of her purpose-built apartment in Totterdown, Alicia commenced the lease extension process as the eighty year mark was fast advancing. The transaction was concluded in November 2007. The freeholder’s fees were negotiated to less than 500 pounds.

Totterdown case:

Dr H Nelson took over the lease of a basement apartment in Totterdown in August 2011. We are asked if we could shed any light on how much (roughly) premium would likely be to prolong the lease by a further 90 years. Similar flats in Totterdown with a long lease were worth £265,000. The mid-range amount of ground rent was £50 billed monthly. The lease ended on 12 November 2099. Given that there were 73 years outstanding we approximated the compensation to the freeholder to extend the lease to be within £9,500 and £11,000 plus costs.

Totterdown case:

In 2014 we were called by Dr Zachary Vincent who, having purchased a newly refurbished flat in Totterdown in April 2009. The question was if we could estimate the premium would be to prolong the lease by an additional years. Similar premises in Totterdown with 100 year plus lease were in the region of £264,000. The average amount of ground rent was £60 invoiced annually. The lease elapsed on 6 May 2079. Considering the 53 years remaining we approximated the compensation to the freeholder for the lease extension to be between £37,100 and £42,800 plus fees.