Stop! Your Lease Extension in Henbury Could Be FREE

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Many leaseholders in Henbury are unaware that their original lawyer had a duty to warn them about future mortgageability and saleability issues. Before you pay thousands to your freeholder, let us audit your purchase history. You might have a claim that pays for your lease extension in full

If you are facing a significant premium because your lease in Henbury has dropped toward the 80-year mark, your previous lawyer may be at fault. Our panel of experts specialise in recovering lease extension costs from negligent firms who failed to protect your investment.

Main reasons to start your Henbury lease extension

Main reasons to start your Henbury lease extension today:

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

It’s an underpublicised truth that a Henbury residential lease is a wasting asset. As the lease term diminishes so does the value of the property. The extent of this is taken for granted in the early years due to the loss of value being disguised by increases in the Henbury property prices.Where your lease has approximately 90 years left, you should start thinking about a lease extension. If the number of years remaining falls under 80 years, you will end up paying half of the property's 'marriage value' in addition to 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 flat owners in Henbury will be able to extend under the legislation; however a conveyancer should be able to confirm if you qualify for an extension. In some cases you may not be entitled. There are also strict timeframes and procedures to follow once the process has commenced and you will need to be guided by your conveyancing solicitor for the duration of the process.

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

Leasehold properties in Henbury with over 100 years unexpired on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your property. In such circumstances there is often little to be gained by buying the reversionary interest unless savings on ground rent and estate charges merit it.

Banks and Building Societies will not finance a property with a short lease

Whether or not the lease is be regarded as a short lease depends on the specific mortgage company, yet lending institutions start to get jittery at around 75 years. This may cause difficulties as and when you need to dispose of or refinance your property as it will be practically unmortgageable. You may have no imminent intention to sell but when you do your buyer will need to hold off for two years before being able to exercise the right to a a lease extension.

Lender Requirement
Godiva Mortgages A minimum of 70 years unexpired lease at completion for all scheme types apart from Lifetime Mortgages (Equity Release), which require a minimum unexpired term of 80 years at completion.
Leeds Building Society 85 years remaining from the start of the mortgage.
National Westminster Bank Mortgage term plus 30 years.

For Shared Ownership, the remaining term of the lease must be at least 30 years plus the term of the mortgage at the outset of the mortgage.
TSB Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption.
Yorkshire Building Society 85 years from the date of completion of the mortgage. Please ensure that you explain the implications of a short term lease to the borrower.

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

Regardless of whether you are a tenant or a freeholder in Henbury,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 in-depth market knowledge and the close ties they enjoy with Henbury valuers.

Henbury Lease Extension Case Studies:

Oliver, Henbury, Bristol

In recent months Oliver, came seriously near to the 80-year threshold with the lease on his leasehold flat in Henbury. In buying his property two decades ago, the lease term was of no importance. by good luck, he recognised he would imminently be paying way over the odds for a lease extension. Oliver arranged for a lease extension just under the wire last March. Oliver and the freeholder via the managing agents eventually agreed on sum of £6,000 . If the lease had slipped lower than 80 years, the premium would have gone up by a minimum £950.

Henbury case:

Last year we were called by Mr and Mrs. I Harris , who owned a ground floor flat in Henbury in March 1998. We are asked if we could approximate the premium would be for a 90 year extension to my lease. Similar properties in Henbury with an extended lease were worth £250,400. The average amount of ground rent was £65 billed annually. The lease expired in 2090. Considering the 64 years outstanding we estimated the premium to the landlord to extend the lease to be between £19,000 and £22,000 plus fees.

Henbury case:

Last year we were called by Mr and Mrs. J Mercier , who owned a one bedroom apartment in Henbury in October 2004. We are asked if we could shed any light on how much (roughly) compensation to the landlord would be for a ninety year lease extension. Comparable flats in Henbury with a long lease were in the region of £184,000. The mid-range amount of ground rent was £55 collected quarterly. The lease expired in 2079. Given that there were 53 years left we estimated the premium to the landlord for the lease extension to be within £28,500 and £33,000 exclusive of legals.