Main reasons to start your Wollaston lease extension

Top reasons for lease extension now:

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

Unfortunately that a Wollaston residential lease is a wasting asset. The lease value drops in proportion to its lease length. The extent of this is not fully appreciated in the first few years due to the loss of value being disguised by increases in the Wollaston property prices.Where your lease has approximately ninety years left, you need to start thinking about 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 falls under eighty years - otherwise a higher amount will be payable. The majority of leasehold owners in Wollaston will be able to extend under the legislation; however a lawyer will be able to confirm if you are eligibility. In some cases you may not qualify. There are also strict deadlines and procedures to follow once the process is instigated and you will need to be guided by your conveyancing solicitor throughout the process.

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

Leasehold properties in Wollaston with over one hundred years outstanding 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 home. In such situations there is often little to be gained by buying the freehold unless savings on ground rent and estate charges merit it.

Lending institutions will not loan monies with a short lease

Almost all mortgage lenders will be unwilling to grant a mortgage on a lease with under seventy years unexpired - although this varies from lender to lender. A purchaser will undoubtedly encounter difficulties in obtaining a mortgage and this could result in your Wollaston property becoming difficult to dispose of or to obtain finance on.

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

The conveyancers that we work with procure Wollaston 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.

Wollaston Lease Extension Case Studies:

Alexandra, Wollaston, Northamptonshire,

Subsequent to unsuccessful correspondence with the freeholder of her one bedroom apartment in Wollaston, Alexandra started the lease extension process as the eighty year deadline was fast nearing. The legal work completed in July 2011. The freeholder’s costs were kept to an absolute minimum.

Wollaston case:

In 2011 we were phoned by Mr Tyler Cook who, having moved into a first floor flat in Wollaston in September 1995. The question was if we could shed any light on how much (roughly) compensation to the landlord would be to extend the lease by an additional years. Comparable homes in Wollaston with 100 year plus lease were valued around £166,400. The mid-range amount of ground rent was £60 billed yearly. The lease ran out in 2080. Given that there were 54 years as a residual term we calculated the compensation to the freeholder for the lease extension to be within £32,300 and £37,400 exclusive of costs.

Wollaston case:

In 2013 we were e-mailed by Mr R Peterson who, having completed a one bedroom flat in Wollaston in March 2005. We are asked if we could shed any light on how much (approximately) price could be for a ninety year extension to my lease. Comparable residencies in Wollaston with an extended lease were valued about £227,800. The average ground rent payable was £45 billed yearly. The lease ended in 2091. Taking into account 65 years as a residual term we approximated the compensation to the freeholder for the lease extension to be within £13,300 and £15,400 exclusive of expenses.