Stop! Your Lease Extension in Bidford On Avon Could Be FREE

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Many leaseholders in Bidford On Avon are unaware that their original lawyer had a duty to warn them about future mortgageability and saleability issues. Before you pay thousands to your freeholder, let us audit your purchase history. You might have a claim that pays for your lease extension in full

If you are facing a significant premium because your lease in Bidford On Avon has dropped toward the 80-year mark, your previous lawyer may be at fault. Our panel of experts specialise in recovering lease extension costs from negligent firms who failed to protect your investment.

Top reasons for Bidford On Avon lease extension

Main reasons to commence your Bidford On Avon lease extension today:

A Bidford On Avon lease depreciates with the years remaining on the lease.

Owning a flat usually means owning a lease of the property, which has a set term of years. The lease will normally be granted for a prescribed period of time , ordinarily 99 or 125 years, although we have witnessed longer and shorter terms in Bidford On Avon. Clearly, the length of lease remaining reduces over time. This may pass by relatively unnoticed when the residence has to be disposed of or re-mortgaged. The shorter the lease the less it is worth and the more it will cost to obtain a lease extension. Eligible long lease owners in Bidford On Avon have the legal entitlement to extend the lease for a further 90 years under Leasehold Reform legislation. You should give due consideration before delaying your Bidford On Avon lease extension. Putting off that expense now likely increases the price you will ultimately incur to extend your lease

Bidford On Avon property with a lease extension is almost the same value as a freehold

It is generally considered that a residential leasehold with more than one hundred years remaining is worth roughly the same as a freehold. Where an additional 90 years added to all but the shortest lease, the property will be equivalent in value to a freehold for many years ahead.

Mortgage lenders may not loan monies on a short lease

The trend since over the last decade has been for banks to tighten lending requirements generally - this has extended to the property over which the mortgage is to be charged. This has resulted in the minimum number of years remaining under the lease required by lenders has increased. In the past lenders would lend on a lease with twenty years plus the term of the loan - routinely fifty year leases but those requirements evolved by the requirement for lengthy leases - many now have a minimum term of 75 years as a prerequisite.

Lender Requirement
Accord Mortgages 85 years from the date of completion of the mortgage. Please ensure that you explain the implications of a short term lease to the borrower.
Coventry Building Society A minimum of 70 years unexpired lease at completion for all scheme types apart from Lifetime Mortgages (Equity Release), which require a minimum unexpired term of 80 years at completion.
National Westminster Bank Mortgage term plus 30 years.

For Shared Ownership, the remaining term of the lease must be at least 75 years plus the term of the mortgage at the outset of the mortgage.
Skipton Building Society 85 years from the date of completion of the mortgage

For Buy to Let cases:
- lettings must not breach any of the lessee’s covenants; and
- consent of the lessor to lettings must be obtained if necessary
Royal Bank of Scotland Mortgage term plus 30 years.

Get in touch with one of our Bidford On Avon lease extension solicitors or enfranchisement solicitors

Regardless of whether you are a tenant or a freeholder in Bidford On Avon,the lease extension experts 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 Bidford On Avon valuers.

Bidford On Avon Lease Extension Example Cases:

Jude, Bidford On Avon, Warwickshire,

Jude owned a high value apartment in Bidford On Avon being marketed with a lease of a little over 61 years left. Jude on an informal basis contacted his landlord being a well known Bristol-based freehold company and enquired on a premium to extend the lease. The landlord was prepared to give an extension on non-statutory terms taking the lease to 125 years on the basis of a new rent initially set at £100 per annum and increase every 25 years thereafter. Ordinarily, ground rent would not be due on a lease extension were Jude to exercise his statutory right. Jude procured expert legal guidance and secured satisfactory resolution without going to tribunal and ending up with a market value flat.

Bidford On Avon case:

In 2014 we were approached by Dr A Phillips who, having took over the lease of a one bedroom apartment in Bidford On Avon in October 1997. The question was if we could estimate the compensation to the landlord would likely be to prolong the lease by 90 years. Comparable homes in Bidford On Avon with 100 year plus lease were valued about £250,000. The mid-range ground rent payable was £50 invoiced per annum. The lease lapsed in 2094. Having 68 years left we estimated the compensation to the freeholder to extend the lease to be between £10,500 and £12,000 not including professional charges.

Bidford On Avon case:

In 2010 we were contacted by Mr R Lewis who, having completed a recently refurbished apartment in Bidford On Avon in November 2004. We are asked if we could approximate the price would be to prolong the lease by an additional years. Similar homes in Bidford On Avon with a long lease were worth £285,000. The average amount of ground rent was £55 collected yearly. The lease elapsed in 2105. Given that there were 79 years left we calculated the premium to the landlord for the lease extension to be within £13,300 and £15,400 plus expenses.