Top reasons for Woodford Green lease extension

Main reasons to start your Woodford Green lease extension today:

Increase your lease and increase your Woodford Green property value

It’s a harsh truth that a Woodford Green residential lease is a wasting asset. As the lease term diminishes so does the value of the property. The extent of this is not fully appreciated in the early years due to the deflation being disguised by increases in the Woodford Green property prices.Once your lease gets to 85ish years, you need to start thinking about a lease extension. If the number of years remaining slips below eighty years, you will end up paying 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 flat owners in Woodford Green will be able to extend under the legislation; however a lawyer will be able to confirm whether you qualify for an extension. In some situations you may not be entitled. There are also strict timetables and procedures to follow once the process is instigated and you will need to be guided by your conveyancer for the duration of the formalities.

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

Leasehold properties in Woodford Green with in excess of 100 years left on the lease are sometimes referred to as ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your premises. In such circumstances there is often little to be gained by purchasing the reversionary interest unless savings on ground rent and maintenance charges merit it.

Lenders may not lend on a short lease

The trend since 2008 has been for banks to tighten lending criteria generally - this has extended to the types of security over which the mortgage is to be granted. This has resulted in the minimum number of years remaining under the lease required by banks has increased. Historically banks would grant a mortgage on a lease with 25 years plus the term of the loan - typically 50 year leases but those requirements have been chipped away by the requirement for longer and longer leases - many use a minimum term of 75 years as a prerequisite.

What makes us experts in Woodford Green lease extensions?

The conveyancers that we work with handle Woodford Green 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.

Woodford Green Lease Extension Example Cases:

Elizabeth, Woodford Green, Essex,

Following protracted discussions with the landlord of her studio apartment in Woodford Green, Elizabeth initiated the lease extension process as the eighty year deadline was quickly approaching. The legal work was concluded in November 2007. The freeholder’s charges were restricted to under 500 GBP.

Woodford Green case:

In 2010 we were phoned by Dr Sophia Dupont who, having acquired a garden flat in Woodford Green in October 2012. We are asked if we could approximate the compensation to the landlord would be to extend the lease by a further 90 years. Comparative residencies in Woodford Green with a long lease were valued around £198,800. The average amount of ground rent was £55 invoiced annually. The lease concluded on 11 March 2081. Having 55 years left we calculated the premium to the freeholder to extend the lease to be between £33,300 and £38,400 plus costs.