Top reasons for Chipping Sodbury lease extension

Main reasons to commence your Chipping Sodbury lease extension today:

A Chipping Sodbury leasehold property depreciates with the years remaining on the lease.

Unfortunately that a Chipping Sodbury residential lease is a deteriorating asset. As the lease term diminishes so does the value of the property. The extent of this is taken for granted in the first few years due to the deflation being disguised by increases in the Chipping Sodbury property prices.Where your lease has approximately ninety years left, you need to start thinking about a lease extension. If the number of years remaining falls under eighty years, you will then be required to pay 50% of the property's 'marriage value' on top of the usual cost of the lease extension to the landlord. The marriage fee is the amount of extra value that a lease extension will add the property The majority of leasehold owners in Chipping Sodbury will be able to extend under the legislation; however a conveyancing solicitor should be able to confirm whether you are eligibility. In some situations you may not be entitled. There are also strict deadlines and procedures to be adhered to once the process has commenced and you will need to be guided by your conveyancing solicitor throughout the process.

Chipping Sodbury property with a lease extension is almost the same value as a freehold

It is generally accepted that a property with in excess of 100 years unexpired lease term is worth approximately the equivalent as a freehold. Where an additional ninety years added to all but the shortest lease, the premises will be worth the same as a freehold for decades to come.

Banks and Building Societies will not grant a mortgage on a short lease

Mortgage companies do not like short residential leases. You most probably encounter difficulties where you wish to sell your flat in Chipping Sodbury if the unexpired lease term is under the criteria set by most banks and building societies. Different lenders have varying requirements but on the whole they are looking for an unexpired term of at least seventy years.

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

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

Chipping Sodbury Lease Extension Example Cases:

Noah, Chipping Sodbury, Gloucestershire,

Noah owned a high value apartment in Chipping Sodbury being sold with a lease of a little over sixty years outstanding. Noah informally spoke with his landlord being a well known local-based freehold company and enquired on a premium to extend the lease. The landlord was prepared to agree an extension on non-statutory terms taking the lease to 125 years on the basis of a rise in the rent to £50 yearly. Ordinarily, ground rent would not be payable on a lease extension were Noah to invoke his statutory right. Noah obtained expert advice and was able to make a more informed decision and handle with the matter and sell the property.

Chipping Sodbury case:

Last April we were approach by Mr Kai Bailey , who was assigned a lease of a recently refurbished flat in Chipping Sodbury in May 2006. We are asked if we could shed any light on how much (approximately) premium would likely be for a ninety year lease extension. Identical residencies in Chipping Sodbury with a long lease were worth £254,200. The average amount of ground rent was £60 collected annually. The lease finished on 19 September 2077. Taking into account 51 years left we calculated the compensation to the landlord to extend the lease to be within £43,700 and £50,600 exclusive of expenses.

Chipping Sodbury case:

Last Spring we were approach by Mr Logan Young , who was assigned a lease of a ground floor flat in Chipping Sodbury in November 1996. The dilemma was if we could approximate the compensation to the landlord would likely be for a 90 year extension to my lease. Comparable residencies in Chipping Sodbury with a long lease were worth £210,600. The average ground rent payable was £45 invoiced monthly. The lease ended in 2088. Having 62 years left we calculated the compensation to the freeholder for the lease extension to be within £18,100 and £20,800 not including legals.