Main reasons to commence your Biddulph lease extension

Main reasons to commence your Biddulph lease extension today:

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

There is no doubt about it a leasehold flat or house in Biddulph is a wasting asset as a result of the diminishing lease term. If the residual term has, beyond 100 years to run then this decrease may be fractional nevertheless there will become a stage when a lease has under than eighty years remaining as part of the premium you will incur is what is termed as a marriage value. This could increase sharply the cost. It is the main logic behind why you should extend the lease sooner rather than later. Many flat owners in Biddulph will meet the qualifying criteria; that being said a conveyancer can confirm if you qualify to extend your lease. In limited situations you may not qualify, the most frequent reason being that you have not been the owner of the property for two years.

An extended lease is almost the same value as a freehold

Leasehold residencies in Biddulph with over 100 years unexpired on the lease are sometimes referred to as ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your home. In such situations there is often little upside in buying the reversionary interest unless savings on ground rent and estate charges merit it.

Lending institutions will not grant a mortgage with a short lease

Banks and building societies are tightening their criteria and a meaningful number now require flats to have a minimum of 60 if not 70 years left once the mortgage has expired. As a number of flats in Biddulph were built in the fifties, sixties and seventies as a result many now need to be extended if they if they are to be mortgageable.

Why use us for your lease extension in Biddulph?

Regardless of whether you are a tenant or a freeholder in Biddulph,the lease extension lawyers that we work with will always be willing to discuss any residential leasehold matters and offer you the benefit of their in-depth market knowledge and the close ties they enjoy with Biddulph valuers.

Biddulph Lease Extension Example Cases:

Milo, Biddulph, Staffordshire

Last October Milo, came critically close to the eighty-year threshold with the lease on his ground floor flat in Biddulph. In buying his home two decades ago, the unexpired term was of little importance. by good luck, he realised he would imminently be paying an inflated amount for Extending the lease. Milo extended the lease just in the nick of time last June. Milo and the landlord subsequently agreed on sum of £5,000 . If the lease had dipped below 80 years, the amount would have increased by a minimum £1,000.

Biddulph case:

Dr Kai Bertrand bought a one bedroom flat in Biddulph in September 1995. The question was if we could shed any light on how much (approximately) compensation to the landlord would be for a ninety year extension to my lease. Comparable properties in Biddulph with an extended lease were worth £225,400. The average ground rent payable was £45 collected monthly. The lease lapsed on 25 March 2090. Considering the 64 years outstanding we calculated the premium to the freeholder to extend the lease to be within £16,200 and £18,600 exclusive of fees.

Biddulph case:

In 2013 we were contacted by Mr Luca Collins who, having purchased a one bedroom apartment in Biddulph in April 2004. The question was if we could estimate the price would likely be for a 90 year extension to my lease. Identical properties in Biddulph with a long lease were in the region of £270,000. The mid-range ground rent payable was £55 collected per annum. The lease ran out on 10 September 2101. Considering the 75 years left we approximated the premium to the landlord to extend the lease to be within £9,500 and £11,000 plus professional charges.