Why you should start your Norwood lease extension

Main reasons to start your Norwood lease extension today:

Increase your lease and increase your Norwood property value

Norwood residential property held on a long lease is a wasting asset as the leaseholder only owns the property for a period of years.

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

It is generally considered that a property with in excess of 100 years remaining is worth roughly the equivalent as a freehold. Where an further 90 years added to all but the shortest lease, the property will be equivalent in value to a freehold for decades to come.

Lenders will not issue a mortgage on a short lease

The trend since over the last decade has been for lenders to tighten lending requirements generally - this has extended to the types of security over which the home loan is to be granted. This has meant the minimum number of years remaining under the lease required by banks has increased. Historically lenders would grant a mortgage on a lease with twenty years plus the term of the loan - routinely 50 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.

Why use us for your lease extension in Norwood?

Lease extensions in Norwood can be a difficult process. We recommend you obtain guidance from a lawyer and surveyor well versed in the legislation and lease extension process.

We provide you with an expert from a selection of lease extension solicitors, which ensures a targeted and efficient service as you have a dedicated port of call with an individual lawyer. Our lease extension solicitors have in-depth market knowledge dealing with Norwood lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.

Norwood Lease Extension Example Cases:

Kirsty, Norwood, South London,

Trailing unsuccessful discussions with the landlord of her studio flat in Norwood, Kirsty commenced the lease extension process just as the lease was nearing the all-important eighty-year mark. The legal work was concluded in May 2011. The freeholder’s charges were kept to an absolute minimum.

Norwood case:

Mr and Mrs. V David owned a ground floor apartment in Norwood in February 2011. We are asked if we could estimate the compensation to the landlord would be for a ninety year extension to my lease. Comparable residencies in Norwood with 100 year plus lease were valued about £242,600. The mid-range ground rent payable was £45 billed per annum. The lease came to a finish on 8 May 2093. Considering the 67 years as a residual term we approximated the compensation to the freeholder for the lease extension to be within £11,400 and £13,200 not including professional charges.

Norwood case:

Ms Eleanor Khan purchased a one bedroom apartment in Norwood in October 2009. We are asked if we could shed any light on how much (approximately) price could be for a 90 year lease extension. Similar flats in Norwood with an extended lease were valued around £280,000. The average amount of ground rent was £55 collected per annum. The lease concluded on 4 September 2104. Considering the 78 years unexpired we estimated the compensation to the freeholder for the lease extension to be between £13,300 and £15,400 plus legals.