Why you should commence your Boscastle lease extension

Why you should commence your Boscastle lease extension today:

Increase your lease and increase your Boscastle property value

Boscastle residential property held on a long lease is a wasting asset as the leaseholder only owns the property for a period of years.

An extended lease is almost the same value as a freehold

It is generally accepted that a residential leasehold with more than one hundred years unexpired lease term is worth roughly the equivalent as a freehold. Where an additional 90 years added to all but the shortest lease, the premises will be equivalent in value to a freehold for decades to come.

Banks and Building Societies will not grant a mortgage with a short lease

Nearly all mortgage companies require a lengthy amount of time left on any leasehold residence before they will contemplate lending on it. Even if you don't need a mortgage, you should be aware that it is probable that someone wishing to purchase your property in the future might well do, so in the event that they can't obtain a mortgage, then the market price of the property will likely be adversely impacted. In the last decade many banks and building societies have increased the required minimum lease length that they are willing to accept

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

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

Boscastle Lease Extension Case Summaries:

Mason, Boscastle, Cornwall

Last October Mason, came critically close to the 80-year threshold with the lease on his first floor apartment in Boscastle. In buying his home two decades ago, the unexpired term was of minimal importance. Luckily, he became aware that he needed to take steps soon on Extending the lease. Mason was able to extend his lease at the eleventh hour in June. Mason and the freeholder subsequently settled on an amount of £6,000 . If the lease had fallen to less than eighty years, the sum would have increased by a minimum £975.

Boscastle case:

Dr V Petit bought a purpose-built flat in Boscastle in August 1998. We are asked if we could estimate the compensation to the landlord would likely be for a ninety year extension to my lease. Comparable homes in Boscastle with an extended lease were in the region of £191,400. The mid-range ground rent payable was £55 collected annually. The lease came to a finish on 9 November 2080. Taking into account 54 years outstanding we approximated the compensation to the landlord for the lease extension to be between £34,200 and £39,600 plus legals.

Boscastle case:

Last Autumn we were called by Mr M Moore , who took over the lease of a one bedroom apartment in Boscastle in August 2001. We are asked if we could estimate the price would likely be to prolong the lease by ninety years. Comparable premises in Boscastle with 100 year plus lease were worth £295,000. The mid-range ground rent payable was £45 invoiced quarterly. The lease expired on 23 May 2100. Taking into account 74 years remaining we approximated the compensation to the landlord to extend the lease to be between £8,600 and £9,800 exclusive of professional charges.