It’s a harsh certainty that a South Woodham Ferrers residential lease is a deteriorating asset. The lease value drops in proportion to its lease length. The extent of this is not fully appreciated in the first few years due to the depreciation being disguised by increases in the South Woodham Ferrers property prices.Once your lease nears 85ish years, you should start considering a lease extension. An important point to note is that it is desirable for lease extension to take place before the term of the existing lease falls under eighty years - otherwise a higher premium will be payable. The majority of leasehold owners in South Woodham Ferrers will be able to extend under the legislation; however a conveyancer will be able to clarify if you qualify for an extension. In some cases you may not qualify. There are also strict timeframes and procedures to follow once the process has commenced and you will need to be guided by your lawyer from beginning to end of the process.
It is generally accepted that a property with more than one hundred years remaining is worth approximately the same as a freehold. Where an further 90 years added to all but the shortest lease, the property will be worth the same as a freehold for many years in the future.
| Lender | Requirement |
|---|---|
| Chelsea Building Society | |
| Godiva Mortgages | |
| Halifax | |
| Leeds Building Society | |
| Royal Bank of Scotland |
Irrespective of whether you are a tenant or a freeholder in South Woodham Ferrers,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 experience and the close ties they enjoy with South Woodham Ferrers valuers.
Last Christmas Daniel, started to get close to the eighty-year mark with the lease on his basement apartment in South Woodham Ferrers. In buying his flat two decades ago, the lease term was of no relevance. Thankfully, he noticed he would imminently be paying way over the odds for Extending the lease. Daniel arranged for a lease extension just under the wire last July. Daniel and the landlord eventually agreed on the final figure of £5,000 . If he not met the deadline, the premium would have increased by a minimum £975.
Dr F Richardson moved into a one bedroom flat in South Woodham Ferrers in March 1995. We are asked if we could shed any light on how much (roughly) price would likely be to extend the lease by ninety years. Similar premises in South Woodham Ferrers with a long lease were valued about £208,200. The mid-range amount of ground rent was £65 billed per annum. The lease expiry date was in 2087. Considering the 61 years as a residual term we approximated the compensation to the landlord for the lease extension to be between £20,000 and £23,000 exclusive of fees.
In 2010 we were phoned by Mr and Mrs. T Wright who, having purchased a basement flat in South Woodham Ferrers in May 1999. We are asked if we could estimate the premium would be for a ninety year lease extension. Comparable properties in South Woodham Ferrers with an extended lease were valued around £260,000. The mid-range ground rent payable was £50 invoiced quarterly. The lease ran out on 9 April 2098. Considering the 72 years unexpired we approximated the premium to the freeholder for the lease extension to be between £9,500 and £11,000 plus professional charges.