Why you should start your Wincanton lease extension

Why you should start your Wincanton lease extension today:

Increase your lease and increase your Wincanton property value

Wincanton residential property held on a long lease is a wasting asset because a leaseholder only owns the property for a set term.

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

It is generally accepted that a property with more than 100 years remaining is worth roughly the equivalent as a freehold. Where an further 90 years added to any lease with more than 35 years remaining, the residence will be equivalent in value to a freehold for decades to come.

Banks and Building Societies may decide not to grant a mortgage on a short lease

The propensity since the credit crunch has been for banks to tighten lending requirements generally - this has extended to the types of security over which the mortgage is to be granted. This has resulted in the minimum number of years remaining under the lease required by lenders has increased. Historically banks were content with 25 years plus the term of the loan - typically fifty year leases but those requirements are being increasingly undermined by the requirement for longer and longer leases - many now have a minimum term of 75 years as a prerequisite.

What makes us experts in Wincanton lease extensions?

The lawyers that we work with procure Wincanton 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.

Wincanton Lease Extension Example Cases:

Isabelle, Wincanton, Somerset,

Trailing unsuccessful negotiations with the freeholder of her studio flat in Wincanton, Isabelle started the lease extension process as the 80 year deadline was swiftly nearing. The transaction completed in September 2005. The freeholder’s fees were negotiated to below 600 GBP.

Wincanton case:

Dr I Adams moved into a one bedroom flat in Wincanton in January 2001. We are asked if we could estimate the premium would be to extend the lease by an additional years. Similar properties in Wincanton with a long lease were in the region of £213,600. The average amount of ground rent was £60 invoiced every twelve months. The lease concluded on 8 November 2083. Given that there were 57 years left we calculated the premium to the freeholder to extend the lease to be within £30,400 and £35,200 plus expenses.

Wincanton case:

Dr F Fournier owned a garden flat in Wincanton in June 1995. The question was if we could estimate the price would likely be to extend the lease by an additional years. Comparative homes in Wincanton with an extended lease were worth £200,000. The average ground rent payable was £50 collected monthly. The lease expired in 2103. Given that there were 77 years as a residual term we estimated the compensation to the landlord for the lease extension to be between £8,600 and £9,800 exclusive of fees.