Why you should start your Blackwood lease extension

Top reasons for lease extension now:

Increase your lease and increase your Blackwood property value

Blackwood leases on residential properties are gradually decreasing in value. The shorter the remaining lease term becomes, the less it is worth – and as a result any extension of your lease becomes more expensive. Legislation has been in place for sometime now allowing qualifying Blackwood residential leaseholders to extend the terms of long leases. If you are a leasehold owner in Blackwood you must see if your lease has between seventy and ninety years left. There are good reasons why a Blackwood leaseholder with a lease having around eighty years remaining should take action to ensure that a lease extension is put in place without delay

An extended lease is almost the same value as a freehold

It is generally considered that a property with over one hundred years unexpired lease term is worth roughly the equivalent as a freehold. Where an additional ninety years added to all but the shortest lease, the premises will be worth the same as a freehold for many years in the future.

Lenders may not grant a mortgage on a short lease

The definition of a short lease varies by mortgage company, yet lending institutions start to become jittery at around 75 years. This will be problematic once you need to sell or remortgage your property as it will be practically unmortgageable. You might not have an immediate plan to sell but when you do your purchaser must wait 2 years before being able to exercise the right to a a lease extension.

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

The conveyancing solicitors that we work with undertake Blackwood lease extensions and help protect your position. A lease extension can be arranged to be completed to coincide with a change of ownership so the costs of the lease extension are paid for using part of the sale proceeds. You really do need expert legal advice in this difficult and technical area of law. The conveyancer we work with provide it.

Blackwood Lease Extension Example Cases:

Tyler, Blackwood, Caerphilly

Last Spring Tyler, started to get close to the 80-year threshold with the lease on his purpose- built apartment in Blackwood. Having bought his home 19 years ago, the lease term was of no significance. Luckily, he became aware that he would soon be paying way over the odds for Extending the lease. Tyler arranged for a lease extension at the eleventh hour in June. Tyler and the freeholder via the managing agents ultimately settled on a premium of £5,000 . If he not met the deadline, the premium would have escalated by a minimum £1,025.

Blackwood case:

Last Summer we were phoned by Ms Alicia Norbert , who moved into a first floor apartment in Blackwood in November 2008. The question was if we could shed any light on how much (approximately) compensation to the landlord would be to prolong the lease by an additional years. Similar flats in Blackwood with a long lease were valued about £275,000. The mid-range ground rent payable was £65 invoiced every twelve months. The lease concluded on 2 May 2094. Considering the 68 years remaining we estimated the premium to the landlord for the lease extension to be within £12,400 and £14,200 exclusive of costs.

Blackwood case:

In 2013 we were e-mailed by Mr and Mrs. T Smith who, having purchased a one bedroom apartment in Blackwood in April 1999. The dilemma was if we could approximate the price could be for a ninety year lease extension. Comparative properties in Blackwood with an extended lease were valued about £208,600. The average amount of ground rent was £60 collected annually. The lease elapsed on 2 March 2083. Having 57 years remaining we approximated the premium to the freeholder to extend the lease to be between £30,400 and £35,200 exclusive of fees.