Top reasons for Wigton lease extension

Why you should start your Wigton lease extension today:

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

Wigton leases on residential properties are gradually decreasing in value. The shorter the remaining lease term becomes, the less it is worth – and accordingly any extension of your lease gets more expensive. It is the case that most Wigton tenants have the right to extend their lease by an additional 90 years in accordance with the 1993 Leasehold Reform Act. Where you are a leasehold owner in Wigton you must investigate if your lease has between 70 and ninety years left. There are compelling reasons why a Wigton leaseholder with a lease having around 80 years left should take action to make sure that a lease extension is effected without delay

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

Leasehold premises in Wigton with in excess of one hundred years remaining on the lease are sometimes referred to as ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your property. In such situations there is often little to be gained by purchasing the freehold unless savings on ground rent and service charges merit it.

Mortgage lenders will not issue a mortgage on a short lease

Lenders do not like short residential leases. You most probably encounter difficulties where you need to sell your flat in Wigton if the remaining lease term is under the criteria set by most mortgage companies. Different lenders have varying requirements but in the main they are looking for an unexpired term of at least 65 years.

What makes us experts in Wigton lease extensions?

Regardless of whether you are a tenant or a freeholder in Wigton,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 experience and the close ties they enjoy with Wigton valuers.

Wigton Lease Extension Case Studies:

Sophia, Wigton, Cumbria,

In the wake of eight months of lengthy discussions with the landlord of her first floor apartment in Wigton, Sophia started the lease extension process as the eighty year mark was quickly nearing. The transaction completed in June 2011. The landlord’s costs were restricted to a tad over 450 GBP.

Wigton case:

Dr M Díaz was assigned a lease of a one bedroom flat in Wigton in February 2011. The question was if we could approximate the premium could be for a 90 year extension to my lease. Similar premises in Wigton with a long lease were in the region of £230,800. The mid-range ground rent payable was £60 billed every twelve months. The lease came to a finish on 13 September 2086. Given that there were 60 years outstanding we estimated the premium to the landlord for the lease extension to be within £24,700 and £28,600 exclusive of fees.

Wigton case:

Last year we were e-mailed by Ms B Lefèvre , who completed a garden flat in Wigton in May 2006. The dilemma was if we could estimate the premium would likely be to extend the lease by a further 90 years. Similar flats in Wigton with an extended lease were valued about £210,000. The average amount of ground rent was £50 collected quarterly. The lease ended on 6 April 2106. Given that there were 80 years outstanding we estimated the compensation to the landlord for the lease extension to be between £8,600 and £9,800 exclusive of legals.