Why you should start your Bagillt lease extension

Why you should start your Bagillt lease extension today:

Increase your lease and increase your Bagillt property value

When it comes to residential leasehold property in Bagillt, you are actually purchasing an entitlement to live in a property for a set period of time. Modern flat leases typically tend to be for 99 years or 125. Even though this may appear like a long period of time, you may think about a lease extension sooner rather than later. The general rule is that the shorter the lease is the cost of extending the lease increases markedly notably once there are less than eighty years remaining. Anyone in Bagillt with a lease approaching 81 years remaining should seriously consider extending it sooner rather than later. Once a lease has less than 80 years left, under the current Act the freeholder can calculate and demand a greater premium, assessed on a technical calculation, known as “marriage value” which is payable.

An extended lease has roughly the same value as a freehold

Leasehold premises in Bagillt with more than 100 years unexpired on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your premises. In such situations there is often little upside in buying the freehold unless savings on ground rent and maintenance charges justify it.

Lending institutions may not finance a property with a short lease

Whether or not the lease is be regarded as a short lease varies by mortgage company, yet mortgage lenders start to get concerned at around 75 years. This will be problematic as and when you need to sell or refinance your flat as it will be effectively unmortgageable. Even though you might have no imminent plan to sell but when you do your buyer will need to wait 2 years before being able to initiate the legal procedures for a lease extension.

Why use us for your lease extension in Bagillt?

Irrespective of whether you are a tenant or a freeholder in Bagillt,the lease extension solicitors that we work with will always be prepared to discuss any residential leasehold matters and offer you the benefit of their experience and the close ties they enjoy with Bagillt valuers.

Bagillt Lease Extension Case Summaries:

Jordan, Bagillt, Flintshire,

Following protracted discussions with the landlord of her purpose-built apartment in Bagillt, Jordan commenced the lease extension process just as her lease was coming close to the all-important eighty-year mark. The lease extension was concluded in June 2010. The freeholder’s charges were negotiated to under 500 pounds.

Bagillt case:

Last Christmas we were approach by Mr Hunter Ward , who took over the lease of a first floor flat in Bagillt in May 2001. The question was if we could estimate the price could be to prolong the lease by 90 years. Comparative premises in Bagillt with an extended lease were worth £208,200. The average amount of ground rent was £65 collected yearly. The lease lapsed in 2087. Taking into account 61 years unexpired we calculated the compensation to the landlord for the lease extension to be within £19,000 and £22,000 plus fees.

Bagillt case:

Last month we were e-mailed by Dr Leah Roux , who moved into a studio apartment in Bagillt in June 2005. The dilemma was if we could estimate the price would be to prolong the lease by ninety years. Comparative residencies in Bagillt with 100 year plus lease were worth £260,000. The average ground rent payable was £50 invoiced monthly. The lease elapsed in 2098. Having 72 years remaining we estimated the premium to the freeholder to extend the lease to be between £9,500 and £11,000 not including legals.