Main reasons to commence your Whitchurch lease extension

Main reasons to start your Whitchurch lease extension today:

Increase your lease and increase your Whitchurch property value

Whitchurch leases on residential deteriorating in value. if your lease has about 90 years unexpired, you should start considering the need for a lease extension. If lease term is less than 80 years, you will then be required to pay half of the property's 'marriage value' in addition to the usual cost of the lease extension to the landlord. Marriage value is the amount of extra value that a lease extension will add to the property. Flat owners in Whitchurch will usually be legally entitled to a lease extension; however it’s a good idea to check with a conveyancing solicitor to check your eligibility. In some situations you may not qualify. There are prescribed timetables and steps to follow once the process has started so it’s best to be guided by a lawyer during the process.

An extended lease is almost the same value as a freehold

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

Mortgage lenders may decide not to issue a mortgage on a short lease

The trend since the credit crunch has been for lenders to tighten lending requirements generally - this has extended to the property over which the mortgage is to be granted. This has resulted in the minimum number of years remaining under the lease required by lenders has increased. Historically mortgage companies were content with twenty years plus the term of the loan - routinely 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 standard.

What makes us experts in Whitchurch lease extensions?

Regardless of whether you are a tenant or a landlord in Whitchurch,the lease extension experts that we work with will always be happy to discuss any residential leasehold matters and offer you the benefit of their experience and the close ties they enjoy with Whitchurch valuers.

Whitchurch Lease Extension Example Cases:

Robyn, Whitchurch, Bristol,

Off the back of lengthy correspondence with the landlord of her first floor apartment in Whitchurch, Robyn commenced the lease extension process just as the lease was nearing the all-important eighty-year deadline. The lease extension was concluded in March 2005. The landlord’s costs were kept to an absolute minimum.

Whitchurch case:

Last May we were approach by Dr Louise Reed , who purchased a garden flat in Whitchurch in April 2011. We are asked if we could shed any light on how much (roughly) premium would be to prolong the lease by 90 years. Similar homes in Whitchurch with an extended lease were valued around £270,000. The average amount of ground rent was £55 billed quarterly. The lease finished in 2101. Given that there were 75 years unexpired we estimated the premium to the freeholder for the lease extension to be within £9,500 and £11,000 exclusive of costs.

Whitchurch case:

Mrs Grace Vincent purchased a purpose-built apartment in Whitchurch in January 1996. The dilemma was if we could approximate the compensation to the landlord could be for a 90 year lease extension. Comparable flats in Whitchurch with a long lease were worth £168,800. The mid-range amount of ground rent was £60 invoiced monthly. The lease came to a finish on 7 March 2081. Considering the 55 years as a residual term we calculated the premium to the freeholder for the lease extension to be between £31,400 and £36,200 not including costs.