Main reasons to commence your Watnall lease extension

Top reasons for lease extension now:

Increase your lease and increase your Watnall property value

The re-sale value of a leasehold property in Watnall depends on how long the lease has left to run. If it is close to or fewer than eighty years you should anticipate difficulties on re-sale, so it is recommended to arrange for the lease to be extended ahead of buying. It is preferable to start the lease extension process when a lease still has 82 years remaining so that all matters can be addressed ahead of the 80 year cut off point. Statute enables Watnall qualifying lessees to obtain a lease extension of 90 years in addition to the remaining lease term at a peppercorn rent (that is, rent free). The purpose of the valuation is to determine the sum payable by the lessee to the freeholder for the acquisition of the lease extension.

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

It is conventional wisdom that a residential leasehold with more than 100 years remaining is worth approximately the same as a freehold. Where an additional ninety years added to all but the shortest lease, the premises will be equivalent in value to a freehold for many years in the future.

Mortgage lenders will not loan monies on a short lease

Banks and building societies are really restricting their approach as regards to properties in Watnall with short leases. For instance you might discover that their lending requirements are stricter and that they alter interest rates depending on how many years are left on the lease. Some may even refuse to lend completely, so if you needed to sell, your only options would be to find a cash purchaser, or try your luck at auction thus reducing your market.

Why use us for your lease extension in Watnall?

Irrespective of whether you are a tenant or a landlord in Watnall,the lease extension lawyers that we work with will always be happy to discuss any residential leasehold matters and offer you the benefit of their in-depth market knowledge and the close ties they enjoy with Watnall valuers.

Watnall Lease Extension Example Cases:

Theo, Watnall, Nottinghamshire

16 months ago Theo, came critically near to the eighty-year threshold with the lease on his first floor flat in Watnall. In buying his property two decades ago, the lease term was of no significance. Luckily, he recognised he would imminently be paying an inflated amount for Extending the lease. Theo arranged for a lease extension at the eleventh hour in May. Theo and the freeholder subsequently settled on an amount of £6,000 . If he failed to meet the deadline, the premium would have escalated by a minimum £1,000.

Watnall case:

Mrs Leah Rivera owned a one bedroom flat in Watnall in January 2001. We are asked if we could shed any light on how much (approximately) price would be to prolong the lease by 90 years. Similar properties in Watnall with 100 year plus lease were in the region of £270,000. The mid-range ground rent payable was £55 collected quarterly. The lease terminated in 2100. Having 74 years as a residual term we approximated the premium to the landlord to extend the lease to be within £9,500 and £11,000 exclusive of legals.

Watnall case:

Last Summer we were e-mailed by Mr and Mrs. D Morel , who took over the lease of a recently refurbished apartment in Watnall in September 2008. We are asked if we could approximate the price would be for a ninety year extension to my lease. Similar properties in Watnall with an extended lease were in the region of £166,400. The average ground rent payable was £60 billed quarterly. The lease finished on 22 August 2080. Given that there were 54 years outstanding we calculated the compensation to the landlord to extend the lease to be within £32,300 and £37,400 plus legals.