Main reasons to start your Bewdley lease extension

Top reasons for lease extension now:

Increase your lease and increase your Bewdley property value

For anyone whose Bewdley property is held on a long lease, the message is clear – if you ignore the situation, the property will eventually revert to your landlord, leaving you empty-handed. The shorter the lease the lower the value of the property and the more it will cost to obtain a lease extension.

Bewdley property with a lease extension has roughly the same value as a freehold

Leasehold properties in Bewdley with over 100 years outstanding on the lease are often regarded as a ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your property. In such circumstances there is often little to be gained by purchasing the reversionary interest unless savings on ground rent and estate charges merit it.

Lenders may not loan monies with a short lease

Mortgage companies will not grant a mortgage on short residential leases. You are likely to encounter difficulties if you need to sell your flat in Bewdley if the unexpired term of your lease is less than the criteria set by the majority of banks and building societies. Different mortgage companies have different criteria but in the main theyrequire a minimum remaining lease term of 65 years.

Why use us for your lease extension in Bewdley?

Using our service will provide you increased control over the value of your Bewdley leasehold, as your property will be more valuable and saleable in respect of lease length should you want to sell. The conveyancers that we work with have a in-depth market knowledge handling many hundreds of lease extensions or freehold purchase transactions.

Bewdley Lease Extension Case Summaries:

Abigail, Bewdley, Worcestershire,

Subsequent to lengthy discussions with the landlord of her studio flat in Bewdley, Abigail commenced the lease extension process just as the lease was nearing the critical eighty-year mark. The transaction was finalised in June 2014. The freeholder’s fees were kept to an absolute minimum.

Bewdley case:

Last Spring we were called by Mr and Mrs. C Mercier , who took over the lease of a basement flat in Bewdley in November 1998. We are asked if we could estimate the compensation to the landlord could be for a ninety year extension to my lease. Comparable properties in Bewdley with a long lease were worth £176,200. The mid-range ground rent payable was £65 invoiced annually. The lease expired on 9 August 2082. Taking into account 56 years as a residual term we estimated the premium to the landlord for the lease extension to be between £29,500 and £34,000 not including legals.

Bewdley case:

Mr and Mrs. F Cooper bought a first floor flat in Bewdley in May 2004. We are asked if we could estimate the compensation to the landlord would be for a ninety year extension to my lease. Comparable homes in Bewdley with 100 year plus lease were valued around £242,600. The average ground rent payable was £45 billed monthly. The lease ran out on 5 April 2093. Given that there were 67 years unexpired we estimated the compensation to the freeholder for the lease extension to be within £11,400 and £13,200 not including fees.