Top reasons for Norwood lease extension

Main reasons to start your Norwood lease extension today:

Increase your lease and increase your Norwood property value

Norwood leases on domestic deteriorating in value. Where your lease has in the region of ninety years unexpired, you should start considering the need for a lease extension. Eighty years is a significant number: when the remaining term of a lease dips below this level then you start incurring an additional element called marriage value. Flat owners in Norwood will mostly be legally entitled to a lease extension; however it’s a good idea to check with a conveyancing solicitor to confirm your eligibility. In some situations you may not be entitled. There are prescribed deadlines and formalities to comply with once the process has commenced so it’s best to be guided by a conveyancing solicitor during the process.

An extended lease has roughly the same value as a freehold

It is generally considered that a property with more than one hundred years remaining is worth roughly the same as a freehold. Where an further ninety years added to all but the shortest lease, the property will be equivalent in value to a freehold for many years in the future.

Banks and Building Societies will not finance a property on a short lease

Most mortgage lenders have narrowed their lending criteria in the last ten years and borrowers are finding it increasingly difficult to raise finance or re-mortgage against property with shorter lease terms, particularly under seventy years as they are deemed to be inadequate for lending purposes.

What makes us experts in Norwood lease extensions?

The conveyancing solicitors that we work with handle Norwood 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.

Norwood Lease Extension Example Cases:

Theo, Norwood, South London,

Theo was the the leasehold owner of a studio apartment in Norwood being sold with a lease of a little over fifty eight years unexpired. Theo on an informal basis spoke with his landlord being a well known London-based freehold company for a lease extension. The freeholder indicated a willingness to extend the lease to 125 years on the basis of a rise in the rent to £200 per annum. No ground rent would be due on a lease extension were Theo to invoke his statutory right. Theo procured expert legal guidance and secured satisfactory deal without going to tribunal and readily saleable.

Norwood case:

Last Spring we were called by Mr Zachary Walker , who completed a purpose-built apartment in Norwood in March 2001. The dilemma was if we could estimate the premium could be to prolong the lease by an additional years. Comparative homes in Norwood with a long lease were in the region of £173,800. The average amount of ground rent was £60 collected quarterly. The lease ended on 25 February 2081. Considering the 55 years remaining we estimated the compensation to the landlord to extend the lease to be between £31,400 and £36,200 not including legals.

Norwood case:

In 2013 we were contacted by Dr Isaac David who, having bought a one bedroom flat in Norwood in October 2011. The dilemma was if we could shed any light on how much (approximately) price would be for a 90 year lease extension. Similar residencies in Norwood with an extended lease were in the region of £235,200. The mid-range ground rent payable was £45 collected annually. The lease elapsed on 8 November 2092. Given that there were 66 years remaining we calculated the compensation to the freeholder for the lease extension to be within £12,400 and £14,200 exclusive of legals.