Main reasons to commence your Bedwas lease extension

Top reasons for lease extension now:

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

Bedwas leases on residential properties are gradually decreasing in value. The shorter the remaining lease term becomes, the less it is worth – and accordingly any extension of your lease becomes more expensive. Legislation has been in place for sometime now which entitles qualifying Bedwas residential leaseholders to extend the terms of long leases. Where you are a leasehold owner in Bedwas you should check if your lease has between 70 and 90 years remaining. There are good reasons why a Bedwas leaseholder with a lease having around eighty years left should take steps to make sure that a lease extension is effected without delay

An extended lease is almost the same value as a freehold

It is generally accepted that a residential leasehold with more than one hundred years remaining is worth roughly the same as a freehold. Where an further ninety years added to any lease with more than 35 years left, the property will be equivalent in value to a freehold for many years in the future.

Banks and Building Societies may not grant a mortgage with a short lease

Lenders do not lend on short residential leases. You are likely to encounter problems if you want to sell your flat in Bedwas if the unexpired lease term is under the criteria set by the majority of mortgage companies. Different lenders have different criteria but generally they are looking for a minimum remaining lease term of seventy years.

Get in touch with one of our Bedwas lease extension solicitors or enfranchisement solicitors

Retaining our service gives you better control over the value of your Bedwas leasehold, as your property will be more valuable and saleable in respect of 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.

Bedwas Lease Extension Case Summaries:

Gemma, Bedwas, Caerphilly,

After lengthy correspondence with the freeholder of her one bedroom flat in Bedwas, Gemma commenced the lease extension process just as her lease was coming close to the all-important 80-year mark. The lease extension was concluded in September 2006. The landlord’s charges were restricted to under 600 GBP.

Bedwas case:

Last year we were contacted by Mrs G Watson , who was assigned a lease of a ground floor flat in Bedwas in October 2005. We are asked if we could shed any light on how much (roughly) compensation to the landlord could be for a ninety year lease extension. Comparable premises in Bedwas with a long lease were worth £280,000. The average ground rent payable was £45 invoiced every twelve months. The lease terminated in 2095. Given that there were 69 years left we calculated the compensation to the freeholder to extend the lease to be within £12,400 and £14,200 exclusive of fees.

Bedwas case:

In 2011 we were called by Mrs V Green who, having acquired a first floor flat in Bedwas in February 2004. We are asked if we could approximate the compensation to the landlord would likely be to prolong the lease by a further 90 years. Similar premises in Bedwas with a long lease were in the region of £216,000. The average amount of ground rent was £60 collected quarterly. The lease came to a finish in 2084. Taking into account 58 years remaining we estimated the premium to the freeholder to extend the lease to be between £28,500 and £33,000 not including expenses.