Top reasons for Bacup lease extension

Why you should start your Bacup lease extension today:

Increase your lease and increase your Bacup property value

As the length of the unexpired term of a Bacup residential lease diminished so does its value and therefore the value of your property. Where the lease has, more than 99 years remaining then this decrease may be of little impact however there will become a stage when a lease has less than eighty years left as part of the premium you will incur is what is known as a marriage value. This could be significant. It is the primary logic behind why you should consider extending sooner as opposed to later. The majority of flat owners in Bacup will meet the qualifying criteria; however a conveyancing solicitor will be able to advise whether you are eligible to extend your lease. In limited situations you may not qualify, the most frequent reason being that you have owned the property for less than two years.

An extended lease has roughly the same value as a freehold

It is conventional wisdom that a property with more than one hundred years remaining is worth roughly the equivalent as a freehold. Where an further 90 years added to all but the shortest lease, the residence will be worth the same as a freehold for many years ahead.

Lending institutions will not grant a mortgage with a short lease

The trend since the credit crunch has been for lenders to tighten lending requirements across the board - this has extended to the types of security over which the mortgage is to be charged. This has resulted in the minimum number of years remaining under the lease required by banks has increased. In the past mortgage companies were content with twenty years plus the term of the loan - routinely fifty year leases but those requirements are being increasingly undermined by the requirement for lengthy leases - many now have a minimum term of 75 years as a prerequisite.

Why use us for your lease extension in Bacup?

Engaging our service will provide you enhanced control over the value of your Bacup leasehold, as your property will be more valuable and marketable in relation to the lease length should you want to sell. The conveyancing solicitors that we work with are well versed in the legislation handling many hundreds of lease extensions or freehold purchase transactions.

Bacup Lease Extension Example Cases:

Toby, Bacup, Lancashire

Half a year ago Toby, started to get close to the eighty-year threshold with the lease on his basement apartment in Bacup. In buying his property two decades ago, the unexpired term was of little bearing. As luck would have it, he noticed he needed to take action soon on a lease extension. Toby arranged for a lease extension at the eleventh hour last June. Toby and the landlord eventually settled on a premium of £5,000 . If the lease had slid below eighty years, the price would have escalated by at least £1,050.

Bacup case:

Last Spring we were phoned by Mr and Mrs. V Brown , who purchased a one bedroom apartment in Bacup in May 2007. We are asked if we could approximate the compensation to the landlord would likely be to extend the lease by 90 years. Similar homes in Bacup with a long lease were valued about £227,800. The mid-range amount of ground rent was £45 billed yearly. The lease terminated in 2091. Taking into account 65 years remaining we approximated the premium to the landlord to extend the lease to be between £13,300 and £15,400 not including fees.

Bacup case:

Dr Ali Sharif acquired a garden apartment in Bacup in February 2009. We are asked if we could approximate the price could be to prolong the lease by ninety years. Identical residencies in Bacup with an extended lease were valued around £275,000. The mid-range ground rent payable was £55 billed quarterly. The lease terminated in 2102. Given that there were 76 years remaining we approximated the premium to the freeholder for the lease extension to be between £9,500 and £11,000 plus costs.