Main reasons to commence your Willingham lease extension

Top reasons for lease extension now:

Increase your lease and increase your Willingham property value

It’s an underpublicised truth that a Willingham residential lease is a deteriorating asset. The lease value drops in proportion to its lease length. The extent of this is not fully appreciated in the early years due to the deflation being disguised by increases in the Willingham property prices.Where your lease has approximately 90 years left, you should start considering a lease extension. An important point to note is that it is desirable for lease extension to take place before the term of the existing lease slips below 80 years - otherwise a higher amount will be due. Most flat owners in Willingham will be able to extend under the legislation; however a conveyancer should be able to confirm whether you qualify for an extension. In some cases you may not qualify. There are also strict timeframes and procedures to be adhered to once the process is initiated and you will need to be guided by your lawyer for the duration of the formalities.

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

Leasehold properties in Willingham with in excess of 100 years remaining on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your home. In such situations there is often little upside in purchasing the freehold unless savings on ground rent and estate charges justify it.

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

The trend since the credit crunch has been for banks to tighten lending criteria across the board - this has extended to the property over which the home loan is to be granted. This has resulted in the minimum number of years remaining under the lease required by banks has increased. Historically lenders were content with 25 years plus the term of the loan - routinely fifty year leases but those requirements are being increasingly undermined by the requirement for lengthy leases - many use a minimum term of 75 years as standard.

Why use us for your lease extension in Willingham?

Regardless of whether you are a tenant or a landlord in Willingham,the lease extension experts that we work with will always be willing to discuss any residential leasehold matters and offer you the benefit of their experience and the close ties they enjoy with Willingham valuers.

Willingham Lease Extension Example Cases:

Kate, Willingham, Cambridgeshire,

Subsequent to unsuccessful correspondence with the landlord of her one bedroom apartment in Willingham, Kate commenced the lease extension process as the eighty year mark was quickly advancing. The transaction was finalised in November 2008. The freeholder’s costs were negotiated to slightly above 500 pounds.

Willingham case:

Last year we were e-mailed by Dr V Lewis , who bought a purpose-built apartment in Willingham in April 2011. The dilemma was if we could shed any light on how much (approximately) price would likely be for a 90 year extension to my lease. Comparable homes in Willingham with 100 year plus lease were worth £216,000. The average amount of ground rent was £60 collected quarterly. The lease lapsed in 2084. Considering the 58 years outstanding we approximated the premium to the landlord for the lease extension to be between £28,500 and £33,000 not including costs.

Willingham case:

Dr B Anderson moved into a first floor apartment in Willingham in September 1997. We are asked if we could approximate the premium could be for a ninety year extension to my lease. Similar residencies in Willingham with a long lease were in the region of £200,000. The mid-range amount of ground rent was £50 collected quarterly. The lease ran out in 2104. Given that there were 78 years remaining we calculated the premium to the freeholder to extend the lease to be within £8,600 and £9,800 not including costs.