Why you should start your Booker lease extension

Why you should commence your Booker lease extension today:

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

The basic rule is, all other factors being equal, the shorter the lease the more expensive the premium. Qualifying leaseholders in Booker have the legal entitlement to extend the lease for an additional 90 years in accordance with the 1993 Leasehold Reform Act. Do think carefully before delaying your Booker lease extension. Shelving that expense now simply escalates the price you will ultimately be required to pay to extend the lease.

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

Leasehold premises in Booker with more than one hundred years remaining on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your premises. In such circumstances there is often little upside in buying the freehold unless savings on ground rent and service charges merit it.

Lenders may not lend with a short lease

Banks and Building Societies have set criteria when loaning monies secured on leasehold homes. Many will simply refrain from lending at all once the residual lease term slips under a specified unexpired lease term. Many Mortgage lenders will not regard property with a remaining term of less than 75 years suitable security. As well as this being important when selling, it is also relevant where you are seeking to refinance your Booker home.

What makes us experts in Booker lease extensions?

The conveyancing solicitors that we work with procure Booker 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 lawyer we work with provide it.

Booker Lease Extension Example Cases:

Toby, Booker, Buckinghamshire,

Toby was the the leasehold proprietor of a studio flat in Booker on the market with a lease of a little over sixty years unexpired. Toby informally contacted his freeholder being a well known Bristol-based freehold company and enquired on a premium to extend the lease. The freeholder was prepared to give an extension on non-statutory terms taking the lease to 125 years on the basis of a new rent to start with set at £150 per annum and increase every twenty five years thereafter. No ground rent would be payable on a lease extension were Toby to exercise his statutory right. Toby obtained expert legal guidance and secured an acceptable resolution without going to tribunal and ending up with a market value flat.

Booker case:

Last Autumn we were e-mailed by Mr and Mrs. I Parker , who moved into a first floor flat in Booker in April 2008. We are asked if we could approximate the price could be for a ninety year extension to my lease. Comparative flats in Booker with an extended lease were valued around £168,800. The mid-range ground rent payable was £60 collected per annum. The lease concluded on 22 September 2081. Given that there were 55 years left we estimated the compensation to the freeholder to extend the lease to be between £31,400 and £36,200 not including expenses.

Booker case:

In 2012 we were e-mailed by Mr and Mrs. T Phillips who, having purchased a studio flat in Booker in November 1997. The dilemma was if we could approximate the premium could be to extend the lease by 90 years. Similar residencies in Booker with an extended lease were in the region of £235,200. The average ground rent payable was £45 invoiced annually. The lease ended on 1 July 2092. Considering the 66 years unexpired we estimated the compensation to the freeholder for the lease extension to be within £12,400 and £14,200 not including legals.