Why you should commence your Byfleet lease extension

Main reasons to start your Byfleet lease extension today:

A Byfleet leasehold property depreciates with the years remaining on the lease.

Byfleet leases on residential properties are gradually diminishing in value. The shorter the remaining lease term becomes, the less it is worth – and accordingly any extension of the lease becomes more expensive. Legislation has been in place for sometime now which permits qualifying Byfleet residential leaseholders to extend the terms of long leases. Where you are a leasehold owner in Byfleet you must see if your lease has between seventy and ninety years left. In particular once the remaining lease term slips under eighty years, the premium due on any lease extension increases dramatically 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 conventional wisdom that a residential leasehold with more than one hundred years unexpired lease term is worth approximately the equivalent as a freehold. Where an additional 90 years added to any lease with more than 35 years left, the premises will be equivalent in value to a freehold for many years in the future.

Lending institutions may decide not to issue a mortgage on a short lease

Banks and building societies are tightening their criteria and a meaningful number now expect flats to have at least sixty if not seventy years remaining once the mortgage has expired. As plenty of flats in Byfleet were created in the 1950s, 1960s and 1970s as a result many now need to be extended if they if they are to be mortgageable.

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

The conveyancers that we work with handle Byfleet 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 lawyer we work with provide it.

Byfleet Lease Extension Example Cases:

Hollie, Byfleet, Surrey,

Subsequent to lengthy discussions with the freeholder of her garden apartment in Byfleet, Hollie initiated the lease extension process just as her lease was approaching the critical 80-year deadline. The legal work was finalised in July 2014. The landlord’s costs were restricted to approximately 550 pounds.

Byfleet case:

In 2010 we were approached by Mrs Isabelle Davies who, having took over the lease of a one bedroom flat in Byfleet in May 2012. We are asked if we could approximate the premium would be to prolong the lease by ninety years. Identical residencies in Byfleet with a long lease were worth £242,600. The average ground rent payable was £45 billed per annum. The lease ended in 2093. Taking into account 67 years unexpired we approximated the compensation to the landlord to extend the lease to be within £11,400 and £13,200 plus legals.

Byfleet case:

In 2013 we were contacted by Mr J Ramírez who, having owned a one bedroom flat in Byfleet in May 2006. The question was if we could approximate the compensation to the landlord could be to extend the lease by an additional years. Comparable flats in Byfleet with a long lease were worth £280,000. The average amount of ground rent was £55 billed quarterly. The lease finished in 2104. Having 78 years as a residual term we calculated the compensation to the landlord to extend the lease to be within £13,300 and £15,400 exclusive of professional charges.