Main reasons to commence your Verwood lease extension

Main reasons to start your Verwood lease extension today:

Increase your lease and increase your Verwood property value

The value of Verwood leasehold residential property falls as the lease term becomes shorter and this will have an impact on its saleability. The cost of a lease extension can escalate materialy once the unexpired lease term is less than eighty years

Verwood property with a lease extension has roughly the same value as a freehold

It is generally considered that a property with more than 100 years remaining is worth roughly the equivalent as a freehold. Where an additional 90 years added to all but the shortest lease, the residence will be equivalent in value to a freehold for many years ahead.

Lenders will not lend with a short lease

Lenders are really restricting their approach as regards to properties in Verwood with short leases. For example you might discover that their lending criteria are stricter and that they adjust interest rates depending on how many years are left on the lease. Some may even refrain from lending completely, so where you wanted to sell, your remaining options would be to find a cash buyer, or hope for the best at auction thus reducing the amount of prospective buyers.

Why use us for your lease extension in Verwood?

The conveyancing solicitors that we work with procure Verwood 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 conveyancer we work with provide it.

Verwood Lease Extension Case Summaries:

Reuben, Verwood, Dorset,

Reuben owned a conversion flat in Verwood on the market with a lease of a little over 61 years remaining. Reuben informally contacted his landlord being a well known London-based freehold company for a lease extension. The freeholder was prepared to agree an extension on non-statutory terms taking the lease to 125 years subject to a rise in the rent to £125 annually. No ground rent would be payable on a lease extension were Reuben to exercise his statutory right. Reuben procured expert advice and secured satisfactory deal without resorting to tribunal and readily saleable.

Verwood case:

In 2012 we were approached by Dr Bethan Morel who, having was assigned a lease of a first floor apartment in Verwood in May 2003. The question was if we could approximate the premium could be to prolong the lease by 90 years. Comparative residencies in Verwood with 100 year plus lease were valued around £290,000. The mid-range ground rent payable was £60 billed quarterly. The lease ended on 7 April 2106. Given that there were 80 years outstanding we approximated the compensation to the freeholder to extend the lease to be between £13,300 and £15,400 plus expenses.

Verwood case:

Last Spring we were contacted by Mrs J Clarke , who owned a first floor flat in Verwood in February 2011. We are asked if we could approximate the price would be to prolong the lease by ninety years. Similar properties in Verwood with 100 year plus lease were valued about £200,800. The average ground rent payable was £65 collected annually. The lease came to a finish on 21 March 2086. Given that there were 60 years remaining we calculated the premium to the freeholder for the lease extension to be between £20,900 and £24,200 plus expenses.