Top reasons for Bromyard lease extension

Top reasons for lease extension now:

Increase your lease and increase your Bromyard property value

Bromyard leases on residential properties are gradually losing value. The shorter the remaining lease term becomes, the less it is worth – and as a result any extension of your lease gets more expensive. Most owners of residential leasehold property in Bromyard enjoy rights under legislation to extend the terms of their leases. If you are a leasehold owner in Bromyard you really ought to investigate if your lease has between 70 and 90 years remaining. In particular once the remaining lease term slips under eighty years, the cost of any lease extension sharply increases as part of the premium you will incur is what is known as a marriage value

An extended lease is almost the same value as a freehold

It is generally considered that a property with more than 100 years unexpired lease term is worth roughly the equivalent as a freehold. Where an additional ninety years added to any lease with more than 35 years unexpired, the premises will be worth the same as a freehold for many years ahead.

Lending institutions may not loan monies on a short lease

Banks and building societies do not grant a mortgage on short residential leases. You most probably experience problems where you want to sell your flat in Bromyard if the remaining term of your lease is below the criteria set by most mortgage companies. Different mortgage companies have different requirements but generally they are looking for a minimum remaining lease term of 65 years.

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

Regardless of whether you are a tenant or a landlord in Bromyard,the lease extension experts that we work with will always be prepared to discuss any residential leasehold matters and offer you the benefit of their experience and the close ties they enjoy with Bromyard valuers.

Bromyard Lease Extension Example Cases:

George, Bromyard, Hertfordshire,

George was the the leasehold proprietor of a high value apartment in Bromyard on the market with a lease of fraction over 72 years unexpired. George informally spoke with his landlord being a well known Bristol-based freehold company and enquired on a premium to extend the lease. The landlord indicated a willingness to extend the lease to 125 years subject to an increased rent to £125 yearly. No ground rent would be due on a lease extension were George to invoke his statutory right. George procured expert advice and secured satisfactory deal without resorting to tribunal and ending up with a market value flat.

Bromyard case:

In 2010 we were approached by Dr Tommy Nelson who, having bought a ground floor apartment in Bromyard in May 2006. We are asked if we could approximate the compensation to the landlord would likely be to prolong the lease by an additional years. Comparative flats in Bromyard with a long lease were valued about £198,800. The mid-range ground rent payable was £55 billed every twelve months. The lease elapsed on 5 March 2081. Taking into account 55 years remaining we approximated the premium to the freeholder to extend the lease to be within £33,300 and £38,400 plus expenses.

Bromyard case:

In 2010 we were contacted by Mr P Flores who, having bought a purpose-built apartment in Bromyard in March 2011. The dilemma was if we could shed any light on how much (roughly) premium would likely be for a ninety year lease extension. Identical premises in Bromyard with an extended lease were in the region of £295,000. The mid-range ground rent payable was £50 billed per annum. The lease ran out in 2101. Considering the 75 years remaining we estimated the compensation to the freeholder for the lease extension to be between £8,600 and £9,800 exclusive of costs.