Top reasons for Braunstone lease extension

Why you should commence your Braunstone lease extension today:

Increase your lease and increase your Braunstone property value

Braunstone leases on residential properties are gradually losing value. The shorter the remaining lease term becomes, the less it is worth – and accordingly any extension of the lease gets more expensive. It is the case that most Braunstone tenants have the right to extend their lease by an additional ninety years under the 1993 Leasehold Reform Act. If you are a leasehold owner in Braunstone you would be well advised to check if your lease has between 70 and 90 years left. There are compelling reasons why a Braunstone flat owner with a lease having around 80 years remaining should take action to make sure that a lease extension is put in place without delay

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

Leasehold residencies in Braunstone with over one hundred years left on the lease are often referred to as ‘virtual freehold’. This is where the lease value the same as a freehold interest in your home. In such situations there is often little upside in buying the reversionary interest unless savings on ground rent and estate charges justify it.

Mortgage lenders may decide not to loan monies with a short lease

Banks and building societies are really restricting their approach as regards to properties in Braunstone with short leases. For instance you may find that their lending requirements are stricter and that they alter interest rates depending on the unexpired lease term. Some may even refrain from lending completely, so if you wanted to sell, your remaining options would be to find a cash purchaser, or try your luck at auction thus limiting the amount of potential purchasers.

Why use us for your lease extension in Braunstone?

The conveyancing solicitors that we work with handle Braunstone 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.

Braunstone Lease Extension Case Studies:

Cameron, Braunstone, Leicestershire

Last year Cameron, started to get close to the eighty-year mark with the lease on his garden flat in Braunstone. Having bought his flat twenty years previously, the length of the lease was of no relevance. Luckily, he noticed he would soon be paying way over the odds for a lease extension. Cameron arranged for a lease extension just in the nick of time last April. Cameron and the landlord in the end agreed on a premium of £6,000 . If he failed to meet the deadline, the price would have escalated by at least £850.

Braunstone case:

Last Christmas we were approach by Dr T Alexander , who was assigned a lease of a first floor apartment in Braunstone in October 2000. The dilemma was if we could estimate the premium could be to extend the lease by ninety years. Similar premises in Braunstone with an extended lease were in the region of £270,000. The mid-range ground rent payable was £55 collected monthly. The lease finished on 19 August 2101. Taking into account 75 years remaining we approximated the premium to the freeholder to extend the lease to be between £9,500 and £11,000 plus expenses.

Braunstone case:

In 2010 we were called by Mr and Mrs. T Gómez who, having acquired a one bedroom apartment in Braunstone in January 2005. We are asked if we could approximate the compensation to the landlord would be to prolong the lease by 90 years. Comparable residencies in Braunstone with an extended lease were worth £168,800. The mid-range ground rent payable was £60 invoiced per annum. The lease elapsed on 27 July 2081. Given that there were 55 years remaining we approximated the compensation to the landlord to extend the lease to be within £31,400 and £36,200 plus expenses.