Why you should start your Blackwood lease extension

Main reasons to start your Blackwood lease extension today:

A Blackwood leasehold property depreciates with the years remaining on the lease.

For those whose Blackwood home is held on a long lease, the message is clear – if no remedial action is taken, the property will ultimately revert to the freeholder, leaving you empty-handed. The shorter the lease the less it is worth and the more expensive it will be to obtain a lease extension.

An extended lease has roughly the same value as a freehold

It is conventional wisdom that a property with in excess of one hundred years unexpired lease term is worth approximately the equivalent as a freehold. Where an further 90 years added to any lease with more than 35 years left, the property will be worth the same as a freehold for many years in the future.

Mortgage lenders may decide not to finance a property with a short lease

Mortgage lenders have specific criteria when loaning monies secured on leasehold homes. Many will simply not lend at all once an unexpired lease term drops under a certain unexpired lease term. Many Mortgage lenders will not regard property with a remaining term of less than seventy years as acceptable security. In addition to this being important when selling, it is also relevant where you are intending to remortgage your Blackwood home.

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

Engaging our service gives you enhanced control over the value of your Blackwood leasehold, as your property will be more valuable and marketable in respect of lease length should you wish to sell. The lawyers that we work with have a in-depth market knowledge handling many hundreds of lease extensions or freehold purchase transactions.

Blackwood Lease Extension Example Cases:

Theo, Blackwood, Caerphilly

Half a year ago Theo, started to get near to the eighty-year mark with the lease on his leasehold flat in Blackwood. Having bought his property twenty years ago, the lease term was of minimal bearing. Thankfully, he noticed he needed to take action soon on Extending the lease. Theo extended the lease just in the nick of time in July. Theo and the landlord in the end settled on sum of £5,500 . If he not met the deadline, the amount would have become more exhorbitant by at least £1,075.

Blackwood case:

In 2011 we were called by Mr and Mrs. V Norbert who, having purchased a one bedroom apartment in Blackwood in October 1999. The dilemma was if we could estimate the compensation to the landlord could be for a ninety year extension to my lease. Similar flats in Blackwood with 100 year plus lease were valued about £181,600. The mid-range amount of ground rent was £55 collected annually. The lease concluded on 18 July 2078. Taking into account 52 years left we estimated the premium to the freeholder to extend the lease to be within £30,400 and £35,200 plus fees.

Blackwood case:

Last Summer we were approach by Mr and Mrs. C David , who bought a first floor flat in Blackwood in October 1996. We are asked if we could shed any light on how much (approximately) premium could be to extend the lease by 90 years. Comparative homes in Blackwood with 100 year plus lease were in the region of £290,000. The average ground rent payable was £45 collected monthly. The lease ran out on 10 February 2098. Having 72 years remaining we estimated the compensation to the freeholder to extend the lease to be within £11,400 and £13,200 exclusive of fees.