Main reasons to commence your Brecon lease extension

Top reasons for lease extension now:

A Brecon lease depreciates with the years remaining on the lease.

The market value of Brecon leasehold residential property falls as the lease term becomes shorter and this will have an impact on its saleability. The expense of extending the lease can increase materialy once the remaining term is less than eighty years

An extended lease is almost the same value as a freehold

Leasehold premises in Brecon with over 100 years outstanding on the lease are often regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your property. In such situations there is often little upside in buying the freehold unless savings on ground rent and maintenance charges warrant it.

Lenders will not finance a property with a short lease

The propensity since over the last decade has been for banks to tighten lending requirements across the board - this has extended to the property over which the home loan is to be granted. This has resulted in the unexpired lease term required by banks has increased. Historically mortgage companies would grant a mortgage on a lease with twenty years plus the term of the loan - routinely fifty year leases but those requirements are being increasingly undermined by the requirement for lengthy leases - many use a minimum term of 75 years as standard.

What makes us experts in Brecon lease extensions?

Lease extensions in Brecon can be a difficult process. We recommend you obtain guidance from a conveyancing solicitor and valuer with experience in lease extensions.

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 a wealth of experience dealing with Brecon lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.

Brecon Lease Extension Example Cases:

Henry, Brecon, Powys,

Henry was the the leasehold owner of a 2 bedroom apartment in Brecon on the market with a lease of a little over 59 years left. Henry on an informal basis contacted his freeholder being a well known London-based freehold company for a lease extension. The landlord indicated a willingness to extend the lease to 125 years on the basis of a new rent initially set at £200 per annum and doubled every 25 years thereafter. No ground rent would be payable on a lease extension were Henry to exercise his statutory right. Henry procured expert legal guidance and was able to make a more informed decision and deal with the matter and readily saleable.

Brecon case:

Mrs Emily Wright completed a newly refurbished flat in Brecon in January 2006. We are asked if we could estimate the compensation to the landlord would be for a 90 year extension to my lease. Comparable residencies in Brecon with a long lease were valued around £210,600. The mid-range ground rent payable was £45 collected quarterly. The lease elapsed on 19 April 2088. Considering the 62 years left we approximated the compensation to the landlord for the lease extension to be within £18,100 and £20,800 plus legals.

Brecon case:

In 2010 we were e-mailed by Mrs I Mercier who, having moved into a purpose-built flat in Brecon in November 2005. We are asked if we could estimate the premium could be for a 90 year extension to my lease. Comparative homes in Brecon with a long lease were valued about £265,000. The mid-range amount of ground rent was £50 billed annually. The lease came to a finish in 2099. Taking into account 73 years outstanding we approximated the compensation to the freeholder for the lease extension to be between £9,500 and £11,000 plus fees.