Why you should commence your Bradford lease extension

Top reasons for lease extension now:

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

Bradford leases on residential properties are gradually diminishing 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. Most owners of residential leasehold property in Bradford enjoy rights under legislation to extend the terms of their leases. If you are a leasehold owner in Bradford you must see if your lease has between 70 and ninety years remaining. In particular once the remaining lease term slips under 80 years, the premium due on any lease extension increases dramatically as part of the premium you pay is what is known as a marriage value

An extended lease is almost the same value as a freehold

It is conventional wisdom that a property with more than 100 years remaining is worth approximately the equivalent as a freehold. Where an additional ninety years added to all but the shortest lease, the property will be equivalent in value to a freehold for many years in the future.

Mortgage lenders will not grant a mortgage on a short lease

Most mortgage lenders will be unwilling to lend on a lease with under seventy years left to run - although this varies between mortgage companies. A buyer will likely find it difficult to obtain a mortgage and this could result in your Bradford property being difficult to dispose of or to obtain finance on.

What makes us experts in Bradford lease extensions?

Engaging our service gives you increased control over the value of your Bradford leasehold, as your property will be more valuable and saleable in terms of lease length should you wish to sell. The lawyers that we work with have a wealth of experience of handling many hundreds of lease extensions or freehold purchase transactions.

Bradford Lease Extension Example Cases:

Kyle, Bradford, West Yorkshire

In 2014 Kyle, started to get close to the 80-year threshold with the lease on his one bedroom apartment in Bradford. Having purchased his home two decades ago, the length of the lease was of minimal concern. Thankfully, he became aware that he would imminently be paying an inflated amount for Extending the lease. Kyle was able to extend his lease at the eleventh hour last July. Kyle and the freeholder subsequently agreed on the final figure of £5,000 . If the lease had descended to less than eighty years, the figure would have gone up by at least £950.

Bradford case:

Mr and Mrs. D Adams took over the lease of a purpose-built flat in Bradford in May 2004. The question was if we could shed any light on how much (roughly) compensation to the landlord would be to extend the lease by 90 years. Similar properties in Bradford with a long lease were valued around £191,400. The mid-range amount of ground rent was £55 billed yearly. The lease expired on 25 August 2080. Given that there were 54 years left we estimated the premium to the freeholder to extend the lease to be within £34,200 and £39,600 exclusive of expenses.

Bradford case:

Ms G Sánchez bought a first floor flat in Bradford in June 1998. We are asked if we could approximate the premium would be to prolong the lease by an additional years. Similar homes in Bradford with an extended lease were in the region of £295,000. The mid-range ground rent payable was £45 billed monthly. The lease came to a finish in 2100. Considering the 74 years left we approximated the premium to the freeholder for the lease extension to be between £8,600 and £9,800 plus expenses.