Why you should commence your Westerham lease extension

Main reasons to start your Westerham lease extension today:

A Westerham leasehold property depreciates with the years remaining on the lease.

Westerham leases on residential properties are gradually losing value. if your lease has about ninety years remaining, you should start considering the need for a lease extension. Eighty years is a significant number: when the unexpired term of a lease dips below this level then you start paying an additional element called marriage value. Flat owners in Westerham will usually be legally entitled to a lease extension; however it’s a good idea to check with a lawyer to confirm your eligibility. In some situations you may not be entitled. There are prescribed timetables and procedures to comply with once the process has started so it’s prudent to be guided by a conveyancing solicitor during the process.

An extended lease is almost the same value as a freehold

It is generally accepted that a residential leasehold with more than one hundred years remaining is worth approximately the same as a freehold. Where an further 90 years added to any lease with more than 45 years left, the property will be equivalent in value to a freehold for many years ahead.

Lenders may decide not to finance a property on a short lease

Banks and Building Societies have set criteria when lending monies charged on leasehold homes. Some will simply not lend at all once an unexpired lease term falls under a specified unexpired lease term. Many Banks and Building Societies will not consider property with a remaining below seventy years suitable security. As well as this being important when selling, it is also relevant if you are seeking to refinance your Westerham home.

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

The conveyancers that we work with undertake Westerham 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 lawyer we work with provide it.

Westerham Lease Extension Example Cases:

Ali, Westerham, Kent

Last year Ali, came very close to the eighty-year mark with the lease on his leasehold flat in Westerham. In buying his property 18 years ago, the length of the lease was of little relevance. Fortunately, he realised he would imminently be paying way over the odds for a lease extension. Ali extended the lease just under the wire last September. Ali and the landlord who owned the flat above ultimately agreed on sum of £5,500 . If he had missed the deadline, the sum would have become more exhorbitant by at least £1,025.

Westerham case:

Last Christmas we were approach by Mr G Ricardo , who moved into a first floor flat in Westerham in July 2002. We are asked if we could approximate the premium could be for a 90 year lease extension. Identical residencies in Westerham with a long lease were worth £171,800. The average ground rent payable was £55 collected every twelve months. The lease concluded in 2076. Considering the 50 years outstanding we estimated the premium to the landlord for the lease extension to be between £32,300 and £37,400 plus legals.

Westerham case:

In 2012 we were contacted by Ms Kayleigh Brown who, having bought a purpose-built apartment in Westerham in March 1995. We are asked if we could estimate the premium would be for a ninety year lease extension. Similar premises in Westerham with 100 year plus lease were in the region of £280,000. The average ground rent payable was £45 invoiced every twelve months. The lease expired on 18 March 2096. Having 70 years left we estimated the premium to the freeholder to extend the lease to be between £12,400 and £14,200 plus legals.