Main reasons to commence your Bedminster lease extension

Main reasons to commence your Bedminster lease extension today:

Increase your lease and increase your Bedminster property value

Bedminster leases on residential properties are gradually losing value. The shorter the remaining lease term becomes, the less it is worth – and as a result any extension of your lease becomes more expensive. Legislation has been in place for sometime now which permits qualifying Bedminster residential leaseholders to extend the terms of long leases. If you are a leasehold owner in Bedminster you would be well advised to investigate if your lease has between 70 and ninety years remaining. There are good reasons why a Bedminster flat owner with a lease having around eighty years unexpired should take action to ensure that a lease extension is effected without delay

An extended lease has roughly the same value as a freehold

It is generally considered that a residential leasehold with over 100 years remaining is worth approximately the same as a freehold. Where an additional ninety years added to all but the shortest lease, the residence will be equivalent in value to a freehold for many years in the future.

Lenders will not finance a property with a short lease

Banks and Building Societies have specific criteria when lending funds secured on leasehold homes. Some will simply refrain from lending at all once an unexpired lease term goes below a certain unexpired lease term. Many Lending institutions will not consider property with an unexpired term of less than 75 years as adequate security. In addition to this being important when selling, it is also relevant if you are wanting to remortgage your Bedminster home.

Why use us for your lease extension in Bedminster?

The conveyancing solicitors that we work with handle Bedminster 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.

Bedminster Lease Extension Case Studies:

Jason, Bedminster, Bristol

Half a year ago Jason, came very close to the 80-year mark with the lease on his purpose- built flat in Bedminster. Having purchased his property 18 years previously, the lease term was of little relevance. Thankfully, it dawned on him that he needed to take steps soon on a lease extension. Jason was able to extend his lease just ahead of time last May. Jason and the freeholder subsequently settled on the final figure of £6,000 . If the lease had dropped below 80 years, the sum would have gone up by a minimum £900.

Bedminster case:

Last Spring we were contacted by Dr Eliot Michel , who owned a recently refurbished flat in Bedminster in November 2011. The dilemma was if we could estimate the price would be for a ninety year extension to my lease. Comparative homes in Bedminster with 100 year plus lease were in the region of £171,800. The average amount of ground rent was £55 collected every twelve months. The lease finished on 7 May 2076. Taking into account 50 years unexpired we estimated the premium to the landlord to extend the lease to be between £33,300 and £38,400 exclusive of expenses.

Bedminster case:

Mr and Mrs. E Norbert acquired a recently refurbished apartment in Bedminster in October 2011. The question was if we could approximate the compensation to the landlord would be to extend the lease by a further 90 years. Identical homes in Bedminster with an extended lease were valued about £280,000. The average amount of ground rent was £45 invoiced per annum. The lease came to a finish in 2096. Given that there were 70 years remaining we calculated the premium to the landlord for the lease extension to be within £12,400 and £14,200 exclusive of fees.