Top reasons for Builth Wells lease extension

Main reasons to commence your Builth Wells lease extension today:

Increase your lease and increase your Builth Wells property value

Builth Wells leases on residential properties are gradually decreasing in value. The shorter the remaining lease term becomes, the less it is worth – and accordingly any extension of your lease becomes more expensive. It is the case that most Builth Wells tenants have the right to extend their lease by an additional ninety years by virtue of the 1993 Leasehold Reform Act. If you are a leasehold owner in Builth Wells you really ought to check if your lease has between seventy and 90 years left. In particular once the remaining lease term slips under 80 years, the premium due on any lease extension sharply increases as an element of the premium you pay is what is known as a marriage value

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

It is conventional wisdom that a residential leasehold with in excess of 100 years unexpired lease term is worth roughly the equivalent as a freehold. Where an additional 90 years added to any lease with more than 30 years left, the premises will be equivalent in value to a freehold for many years in the future.

Mortgage lenders may decide not to issue a mortgage on a short lease

Banks and building societies are really clamping down as regards to homes in Builth Wells with short leases. For example you might discover that their lending requirements are stricter and that they adjust interest rates depending on how many years are left on the lease. Some may even refuse to lend completely, so where you needed to sell, your only options would be to find a cash purchaser, or hope for the best at auction thus limiting your market.

Why use us for your lease extension in Builth Wells?

Irrespective of whether you are a tenant or a freeholder in Builth Wells,the lease extension lawyers that we work with will always be willing to discuss any residential leasehold matters and offer you the benefit of their in-depth market knowledge and the close ties they enjoy with Builth Wells valuers.

Builth Wells Lease Extension Case Studies:

Kayleigh, Builth Wells, Powys,

In the wake of 6 months of unsuccessful negotiations with the landlord of her ground floor flat in Builth Wells, Kayleigh initiated the lease extension process just as the lease was approaching the crucial 80-year mark. The lease extension was finalised in September 2012. The landlord’s charges were kept to an absolute minimum.

Builth Wells case:

Last year we were contacted by Mr and Mrs. O Hall , who acquired a basement flat in Builth Wells in February 1997. The question was if we could estimate the price could be for a ninety year lease extension. Similar premises in Builth Wells with a long lease were worth £191,400. The mid-range amount of ground rent was £55 invoiced monthly. The lease expired on 5 November 2080. Given that there were 54 years as a residual term we calculated the compensation to the freeholder to extend the lease to be between £34,200 and £39,600 plus expenses.

Builth Wells case:

In 2011 we were e-mailed by Mr and Mrs. B Alexander who, having took over the lease of a garden apartment in Builth Wells in July 2000. We are asked if we could shed any light on how much (roughly) compensation to the landlord could be for a 90 year extension to my lease. Similar homes in Builth Wells with an extended lease were in the region of £295,000. The average ground rent payable was £45 invoiced quarterly. The lease lapsed in 2100. Given that there were 74 years remaining we approximated the compensation to the landlord to extend the lease to be within £9,500 and £11,000 plus expenses.