Main reasons to start your Bromsgrove lease extension

Top reasons for lease extension now:

Increase your lease and increase your Bromsgrove property value

The market value of Bromsgrove 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 below than 80 years

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

Leasehold residencies in Bromsgrove with over 100 years unexpired on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your premises. In such situations there is often little to be gained by purchasing the freehold unless savings on ground rent and maintenance charges justify it.

Banks and Building Societies may not lend with a short lease

Banks and building societies are tightening their criteria and many now require flats to have at least 60 if not 70 years left once the mortgage has expired. Given that plenty of flats in Bromsgrove were built in the 1950s, 1960s and 1970s this means many now need to be extended if they if they are to be mortgageable.

Why use us for your lease extension in Bromsgrove?

The lawyers that we work with handle Bromsgrove 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 conveyancing solicitor we work with provide it.

Bromsgrove Lease Extension Case Studies:

Ali, Bromsgrove, Worcestershire,

Ali was the the leasehold owner of a 2 bedroom flat in Bromsgrove on the market with a lease of a few days over sixty years unexpired. Ali informally approached his landlord a well known local-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 at the outset set at £200 per annum and increase every 25 years thereafter. No ground rent would be payable on a lease extension were Ali to invoke his statutory right. Ali procured expert advice and secured satisfactory deal without going to tribunal and sell the property.

Bromsgrove case:

Last Christmas we were called by Mr and Mrs. N Jackson , who owned a recently refurbished apartment in Bromsgrove in January 2011. We are asked if we could estimate the premium could be to prolong the lease by ninety years. Identical premises in Bromsgrove with 100 year plus lease were in the region of £183,600. The average amount of ground rent was £65 collected quarterly. The lease elapsed in 2083. Having 57 years remaining we approximated the compensation to the freeholder to extend the lease to be within £28,500 and £33,000 not including costs.

Bromsgrove case:

Ms W Laurent was assigned a lease of a garden flat in Bromsgrove in March 2000. The dilemma was if we could shed any light on how much (approximately) premium would be for a ninety year extension to my lease. Similar residencies in Bromsgrove with a long lease were worth £245,000. The mid-range amount of ground rent was £50 collected yearly. The lease ran out on 24 September 2094. Having 68 years unexpired we calculated the premium to the landlord for the lease extension to be within £9,500 and £11,000 not including expenses.