Main reasons to commence your Chippenham lease extension

Main reasons to start your Chippenham lease extension today:

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

As the length of the unexpired term of a Chippenham residential lease decreases so does its value and therefore the value of your property. If the lease has, in excess of 99 years remaining then this decrease may be fractional nevertheless there will become a point in time when a lease has less than 80 years remaining as part of the premium you will incur is what is known as a marriage value. This could be significant. It is the main rational as to why you should consider extending without delay. The majority of flat owners in Chippenham will qualify for this right; however a conveyancing solicitor should be able to confirm whether you qualify for a lease extension. In certain situations you may not qualify, the most common reason being that you have not been the owner of the property for two years.

An extended lease is almost the same value as a freehold

It is conventional wisdom that a residential leasehold with in excess of one hundred years remaining is worth approximately the same as a freehold. Where an additional 90 years added to any lease with more than 45 years remaining, the premises will be worth the same as a freehold for many years in the future.

Mortgage lenders will not lend with a short lease

Lending institutions have specific criteria when lending monies charged on leasehold homes. Some will simply refuse lend at all once the remaining lease term goes beneath a certain unexpired lease term. Many Lending institutions will not consider property with an unexpired below seventy years as acceptable security. As well as impacting your ability to sell, it is also relevant where you are seeking to remortgage your Chippenham property.

Why use us for your lease extension in Chippenham?

Engaging our service will provide you enhanced control over the value of your Chippenham leasehold, as your property will be more valuable and marketable in terms of lease length should you want to sell. The lawyers that we work with are well versed in the legislation handling many hundreds of lease extensions or freehold purchase transactions.

Chippenham Lease Extension Case Summaries:

George, Chippenham, Wiltshire

Twenty four months ago George, started to get close to the eighty-year threshold with the lease on his ground floor apartment in Chippenham. In buying his property two decades ago, the lease term was of minimal interest. Fortunately, he became aware that he would soon be paying an escalated premium for Extending the lease. George was able to extend his lease just under the wire last January. George and the landlord ultimately settled on sum of £5,500 . If he not met the deadline, the amount would have gone up by at least £850.

Chippenham case:

In 2014 we were called by Dr B Mason who, having bought a purpose-built flat in Chippenham in September 1998. We are asked if we could approximate the price could be for a 90 year extension to my lease. Similar premises in Chippenham with an extended lease were in the region of £246,800. The average amount of ground rent was £60 invoiced every twelve months. The lease expired in 2076. Given that there were 50 years remaining we approximated the premium to the freeholder to extend the lease to be between £44,700 and £51,600 plus costs.

Chippenham case:

Mr and Mrs. Y Carter purchased a garden apartment in Chippenham in November 2006. The question was if we could estimate the premium would be to extend the lease by 90 years. Similar residencies in Chippenham with 100 year plus lease were valued around £200,800. The average ground rent payable was £65 collected per annum. The lease ended on 11 July 2086. Considering the 60 years outstanding we approximated the premium to the landlord for the lease extension to be between £20,900 and £24,200 plus legals.