Top reasons for Bovey Tracey lease extension

Why you should commence your Bovey Tracey lease extension today:

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

The rule of thumb is, all other things holding equal, the shorter the lease the more expensive the premium. Qualifying leaseholders in Bovey Tracey have the right to extend the lease for an additional ninety years in accordance with Leasehold Reform legislation. Do think carefully before delaying your Bovey Tracey lease extension. Postponing the costs today simply escalates the premium you will eventually be required to pay for a lease extension.

An extended lease has roughly the same value as a freehold

It is conventional wisdom that a property with over one hundred years unexpired lease term is worth approximately the same as a freehold. Where an further 90 years added to all but the shortest lease, the residence will be equivalent in value to a freehold for decades to come.

Lending institutions will not issue a mortgage on a short lease

The propensity since over the last decade has been for lenders to tighten lending criteria generally - this has extended to the types of security over which the home loan is to be granted. This has meant the minimum number of years remaining under the lease required by mortgage companies has increased. Historically mortgage companies were content with twenty years plus the term of the loan - typically fifty year leases but those requirements have been chipped away by the requirement for longer and longer leases - many use a minimum term of 75 years as standard.

Why use us for your lease extension in Bovey Tracey?

Lease extensions in Bovey Tracey can be a difficult process. We recommend you get guidance from a conveyancer and surveyor with experience in this area.

We provide you with an expert from a selection of lease extension solicitors, which ensures a targeted and efficient service as you have a dedicated port of call with an individual lawyer. Our lease extension solicitors have in-depth market knowledge dealing with Bovey Tracey lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.

Bovey Tracey Lease Extension Case Studies:

Adam, Bovey Tracey, Devon,

Adam was the the leasehold proprietor of a studio apartment in Bovey Tracey on the market with a lease of a little over 72 years left. Adam informally spoke with his freeholder being a well known Bristol-based freehold company for a lease extension. The freeholder was keen to grant an extension on non-statutory terms taking the lease to 125 years on the basis of an increased rent to £50 annually. Ordinarily, ground rent would not be payable on a lease extension were Adam to exercise his statutory right. Adam procured expert legal guidance and secured an acceptable deal informally and ending up with a market value flat.

Bovey Tracey case:

Last Autumn we were contacted by Mr and Mrs. D Reed , who purchased a one bedroom flat in Bovey Tracey in April 2005. The question was if we could shed any light on how much (approximately) price would likely be for a 90 year extension to my lease. Similar properties in Bovey Tracey with a long lease were in the region of £275,000. The mid-range ground rent payable was £55 billed yearly. The lease expired on 12 September 2103. Taking into account 77 years left we estimated the compensation to the landlord for the lease extension to be between £13,300 and £15,400 exclusive of costs.

Bovey Tracey case:

Last November we were phoned by Dr F Anderson , who was assigned a lease of a ground floor apartment in Bovey Tracey in June 2006. We are asked if we could approximate the premium could be to extend the lease by an additional years. Identical homes in Bovey Tracey with 100 year plus lease were valued about £183,600. The average ground rent payable was £65 collected annually. The lease elapsed on 21 April 2083. Having 57 years remaining we calculated the compensation to the landlord to extend the lease to be between £28,500 and £33,000 not including legals.