Main reasons to commence your Bovey Tracey lease extension

Main reasons to commence your Bovey Tracey lease extension today:

A Bovey Tracey lease depreciates with the years remaining on the lease.

It’s a harsh truth that a Bovey Tracey residential lease is a wasting asset. The lease value reduces in proportion to its lease length. The extent of this is taken for granted in the early years due to the loss of value being disguised by increases in the Bovey Tracey property market.Where your lease has approximately ninety years left, you need to start thinking about a lease extension. An important point to note is that it is desirable for lease extension to take place before the term of the existing lease slips below eighty years - otherwise a higher premium will be payable. Most leasehold owners in Bovey Tracey will be able to extend under the legislation; however a lawyer should be able to clarify whether you qualify for an extension. In some situations you may not be entitled. There are also strict deadlines and procedures to be adhered to once the process has commenced and you will need to be guided by your conveyancing solicitor throughout the formalities.

Bovey Tracey property with a lease extension is almost the same value as a freehold

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

Mortgage lenders may not lend with a short lease

Many banks and building societies insist on a lengthy amount of time remaining on any leasehold property before they will consider it as adequate security. Even if you don't require a mortgage, you should be mindful that it is probable that someone intending to acquire your property in the future might well do, so in the event that they can't obtain a mortgage, then the market price of your property will likely be adversely impacted. In the last decade most banks and building societies have increased the required minimum lease length that they are willing to grant a mortgage on

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

Using our service gives you enhanced control over the value of your Bovey Tracey leasehold, as your property will be more valuable and saleable in relation to the lease length should you want to sell. The conveyancing solicitors that we work with are well versed in the legislation handling many hundreds of lease extensions or freehold purchase transactions.

Bovey Tracey Lease Extension Example Cases:

Noah, Bovey Tracey, Devon,

Noah owned a 2 bedroom flat in Bovey Tracey on the market with a lease of a little over fifty eight years remaining. Noah on an informal basis spoke with his landlord a well known London-based freehold company and enquired on a premium to extend the lease. The landlord indicated a willingness to grant an extension taking the lease to 125 years on the basis of an increased rent to £125 yearly. No ground rent would be due on a lease extension were Noah to invoke his statutory right. Noah procured expert legal guidance and was able to make a more informed decision and deal with the matter and ending up with a market value flat.

Bovey Tracey case:

In 2009 we were e-mailed by Mr and Mrs. L Watson who, having completed a one bedroom flat in Bovey Tracey in November 1998. The question was if we could shed any light on how much (roughly) price would likely be for a 90 year extension to my lease. Similar flats in Bovey Tracey with 100 year plus lease were valued about £166,400. The mid-range amount of ground rent was £60 invoiced monthly. The lease ran out in 2080. Given that there were 54 years as a residual term we approximated the compensation to the landlord for the lease extension to be within £32,300 and £37,400 plus professional charges.

Bovey Tracey case:

Last March we were phoned by Dr G Adams , who took over the lease of a purpose-built flat in Bovey Tracey in April 1999. We are asked if we could approximate the premium would likely be for a 90 year extension to my lease. Identical homes in Bovey Tracey with 100 year plus lease were in the region of £227,800. The mid-range amount of ground rent was £45 collected monthly. The lease finished on 6 June 2091. Taking into account 65 years left we calculated the premium to the freeholder to extend the lease to be within £13,300 and £15,400 not including professional charges.