Why you should start your Great Wyrley lease extension

Top reasons for lease extension now:

Increase your lease and increase your Great Wyrley property value

For those whose Great Wyrley property is held on a long lease, the message is clear – if you ignore the situation, the property will ultimately revert to your landlord, leaving you empty-handed. The shorter the lease the less it is worth and the more it will cost to extend the lease.

An extended lease is almost the same value as a freehold

Leasehold residencies in Great Wyrley with in excess of 100 years outstanding on the lease are often referred to as ‘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 purchasing the reversionary interest unless savings on ground rent and service charges merit it.

Lending institutions may not grant a mortgage with a short lease

Lenders are really restricting their approach as regards to properties in Great Wyrley with short leases. For instance you might discover that their lending criteria are stricter and that they adjust interest rates depending on the unexpired lease term. Some may even refrain from lending completely, so where you wanted to sell, your remaining options would be to find a cash buyer, or try your luck at auction thus limiting the number of potential purchasers.

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

The conveyancers that we work with undertake Great Wyrley 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 conveyancing solicitor we work with provide it.

Great Wyrley Lease Extension Case Studies:

Charlie, Great Wyrley, Staffordshire,

Charlie owned a studio flat in Great Wyrley on the market with a lease of a few days over sixty years outstanding. Charlie informally approached his landlord a well known local-based freehold company and enquired on a premium to extend the lease. The landlord was keen to agree an extension on non-statutory terms taking the lease to 125 years subject to a rise in the rent to £100 per annum. No ground rent would be payable on a lease extension were Charlie to exercise his statutory right. Charlie obtained expert advice and secured satisfactory resolution informally and ending up with a market value flat.

Great Wyrley case:

Dr H Martin took over the lease of a one bedroom apartment in Great Wyrley in November 2008. The dilemma was if we could approximate the price would likely be for a 90 year lease extension. Similar homes in Great Wyrley with 100 year plus lease were in the region of £260,000. The average amount of ground rent was £50 collected every twelve months. The lease termination date was in 2098. Considering the 72 years outstanding we calculated the premium to the freeholder to extend the lease to be between £9,500 and £11,000 not including fees.

Great Wyrley case:

Last Summer we were e-mailed by Mr Charlie Mason , who acquired a one bedroom apartment in Great Wyrley in October 1997. The question was if we could shed any light on how much (approximately) compensation to the landlord would be for a ninety year lease extension. Identical properties in Great Wyrley with a long lease were worth £256,600. The average ground rent payable was £60 invoiced per annum. The lease concluded in 2078. Taking into account 52 years left we calculated the premium to the freeholder to extend the lease to be within £39,000 and £45,000 plus costs.