Why you should commence your Braunstone lease extension

Top reasons for lease extension now:

Increase your lease and increase your Braunstone property value

Braunstone 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 the lease gets more expensive. The majority of owners of residential leasehold property in Braunstone enjoy rights under legislation to extend the terms of their leases. If you are a leasehold owner in Braunstone you must investigate if your lease has between seventy and 90 years left. There are compelling reasons why a Braunstone flat owner with a lease having around 80 years left should take steps to make sure that a lease extension is put in place without delay

An extended lease is almost the same value as a freehold

It is conventional wisdom that a property with in excess of one hundred years unexpired lease term is worth approximately the same as a freehold. Where an additional 90 years added to any lease with more than 45 years left, the property will be equivalent in value to a freehold for many years in the future.

Banks and Building Societies will not issue a mortgage on a short lease

Whether or not the lease is be regarded as a short lease depends on the specific mortgage company, yet banks and building societies start to get jittery at around 75 years. This may be problematic when you come to dispose of or remortgage your flat as it will be effectively unmortgageable. Even though you might have no imminent intention to sell but when you do your buyer will have to hold off for two years before they can exercise the right to a an extension to the lease.

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

Engaging our service gives you increased control over the value of your Braunstone leasehold, as your property will be more valuable and saleable in terms of lease length should you wish to sell. The conveyancers that we work with are well versed in the legislation handling many hundreds of lease extensions or freehold purchase transactions.

Braunstone Lease Extension Case Studies:

Alex, Braunstone, Leicestershire,

Alex owned a conversion flat in Braunstone on the market with a lease of fraction over 61 years remaining. Alex on an informal basis approached his freeholder a well known Bristol-based freehold company for a lease extension. The landlord indicated a willingness to extend the lease to 125 years on the basis of a rise in the rent to £200 annually. Ordinarily, ground rent would not be payable on a lease extension were Alex to exercise his statutory right. Alex procured expert legal guidance and secured satisfactory deal without going to tribunal and sell the flat.

Braunstone case:

Mr Leon Richardson was assigned a lease of a studio flat in Braunstone in February 1996. The dilemma was if we could shed any light on how much (roughly) compensation to the landlord could be for a 90 year extension to my lease. Comparative properties in Braunstone with 100 year plus lease were worth £256,600. The mid-range ground rent payable was £60 invoiced every twelve months. The lease ran out in 2078. Taking into account 52 years outstanding we calculated the compensation to the landlord for the lease extension to be within £39,000 and £45,000 not including legals.

Braunstone case:

In 2009 we were approached by Mr and Mrs. E Rodríguez who, having completed a recently refurbished apartment in Braunstone in April 1997. We are asked if we could approximate the premium could be for a 90 year extension to my lease. Comparative residencies in Braunstone with a long lease were in the region of £218,000. The mid-range ground rent payable was £45 invoiced monthly. The lease elapsed in 2089. Considering the 63 years as a residual term we approximated the premium to the landlord for the lease extension to be within £17,100 and £19,800 exclusive of fees.