Top reasons for Watchet lease extension

Main reasons to start your Watchet lease extension today:

A Watchet lease depreciates with the years remaining on the lease.

For anyone whose Watchet property is held on a long lease, the message is clear – if you ignore the situation, the property will eventually revert to your landlord, leaving you empty-handed. The fewer the years remaining the lower the value of the property and the more it will cost to procure a lease extension.

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

Leasehold premises in Watchet with in excess of 100 years outstanding on the lease are often referred to as ‘virtual freehold’. This is where the lease value the same as a freehold interest in your property. In such situations there is often little upside in purchasing the freehold unless savings on ground rent and maintenance charges justify it.

Lenders may not loan monies on a short lease

Almost all mortgage lenders require a lengthy amount of time left on a leasehold property before they will contemplate it as adequate security. Even if you don't require a mortgage, you should keep in mind that it is reasonable to assume that someone intending to purchase your property in the future might well do, so in the event that they can't get a mortgage, then the value of your property will likely be adversely impacted. In the last decade most mortgage lenders have increased the required minimum lease length that they are willing to lend on

What makes us experts in Watchet lease extensions?

The conveyancers that we work with procure Watchet 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.

Watchet Lease Extension Example Cases:

Sarah, Watchet, Somerset,

Trailing protracted negotiations with the landlord of her first floor flat in Watchet, Sarah initiated the lease extension process just as the lease was coming close to the crucial eighty-year threshold. The legal work completed in January 2008. The freeholder’s charges were kept to an absolute minimum.

Watchet case:

Last year we were contacted by Dr Jonathan James , who took over the lease of a studio flat in Watchet in May 2011. The dilemma was if we could approximate the compensation to the landlord would be for a ninety year lease extension. Comparative properties in Watchet with a long lease were worth £261,600. The average amount of ground rent was £60 invoiced quarterly. The lease concluded on 17 June 2078. Considering the 52 years left we approximated the compensation to the landlord for the lease extension to be between £39,000 and £45,000 plus expenses.

Watchet case:

In 2009 we were approached by Mr and Mrs. C Scott who, having moved into a one bedroom apartment in Watchet in June 2002. We are asked if we could shed any light on how much (approximately) compensation to the landlord would be to prolong the lease by a further 90 years. Comparative homes in Watchet with an extended lease were worth £218,000. The mid-range ground rent payable was £45 invoiced quarterly. The lease expiry date was in 2089. Having 63 years remaining we approximated the compensation to the freeholder to extend the lease to be within £17,100 and £19,800 exclusive of costs.