Main reasons to start your Wembley lease extension

Why you should commence your Wembley lease extension today:

Increase your lease and increase your Wembley property value

Wembley residential property owned on a long lease is a wasting asset because a leaseholder only owns the property for a period of years.

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

Leasehold residencies in Wembley with more than one hundred years outstanding on the lease are often regarded as a ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your property. In such situations there is often little upside in buying the freehold unless savings on ground rent and service charges justify it.

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

The propensity since over the last decade has been for lenders to tighten lending criteria generally - this has extended to the types of security over which the mortgage is to be charged. This has meant the unexpired lease term required by banks has increased. In the past mortgage companies would grant a mortgage on a lease with twenty years plus the term of the loan - typically fifty year leases but those requirements have been chipped away by the requirement for lengthy leases - many use a minimum term of 75 years as standard.

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

Using our service gives you better control over the value of your Wembley leasehold, as your property will be more valuable and marketable in terms of lease length should you wish to sell. The conveyancers that we work with are well versed in the legislation handling many hundreds of lease extensions or freehold purchase transactions.

Wembley Lease Extension Example Cases:

David, Wembley, North West London

In 2014 David, came perilously close to the eighty-year mark with the lease on his leasehold apartment in Wembley. Having bought his flat 18 years ago, the length of the lease was of little significance. Thankfully, it dawned on him that he would soon be paying way over the odds for Extending the lease. David extended the lease just in the nick of time last June. David and the freeholder via the management company in the end agreed on a premium of £6,000 . If the lease had dropped below 80 years, the amount would have escalated by at least £875.

Wembley case:

In 2014 we were e-mailed by Dr S Phillips who, having moved into a basement apartment in Wembley in July 2004. We are asked if we could estimate the price would be for a ninety year extension to my lease. Similar homes in Wembley with an extended lease were valued about £216,000. The average ground rent payable was £60 collected monthly. The lease expired in 2084. Considering the 58 years outstanding we calculated the compensation to the landlord for the lease extension to be between £28,500 and £33,000 plus fees.