Top reasons for Wolston lease extension

Why you should commence your Wolston lease extension today:

Increase your lease and increase your Wolston property value

Unfortunately that a Wolston residential lease is a wasting asset. The lease value drops in proportion to its lease length. The extent of this is taken for granted in the early years due to the reduction being disguised by increases in the Wolston property prices.Once your lease gets to 85ish years, you need to start considering a lease extension. If lease term falls under eighty years, you will end up paying half of the property's 'marriage value' in addition to the usual cost of the lease extension to the landlord. Marriage value is the amount of additional value that a lease extension will add the property Most flat owners in Wolston will be able to extend under the legislation; however a conveyancer should be able to clarify if you are eligibility. In some cases you may not be entitled. There are also strict deadlines and procedures to be adhered to once the process is initiated and you will need to be guided by your conveyancing solicitor from beginning to end of the formalities.

An extended lease has roughly the same value as a freehold

Leasehold premises in Wolston with more than 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 property. In such situations there is often little to be gained by buying the reversionary interest unless savings on ground rent and estate charges merit it.

Lending institutions may not lend on a short lease

Whether or not the lease is be regarded as a short lease depends on the specific mortgage company, yet banks and building societies start to get nervous at around 75 years. This may be problematic once you come to dispose of or refinance your flat as it will be effectively unmortgageable. Even though you may not have an imminent intention to sell but when you do your purchaser will have to wait 2 years before they can exercise the right to a an extension to the lease.

Why use us for your lease extension in Wolston?

The conveyancing solicitors that we work with procure Wolston 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.

Wolston Lease Extension Case Summaries:

Ashleigh, Wolston, Warwickshire,

Following lengthy negotiations with the landlord of her two bedroom flat in Wolston, Ashleigh started the lease extension process as the 80 year threshold was fast advancing. The lease extension was concluded in September 2009. The freeholder’s costs were kept to an absolute minimum.

Wolston case:

Last Summer we were phoned by Mr and Mrs. D Roberts , who completed a purpose-built flat in Wolston in February 2004. The question was if we could approximate the compensation to the landlord would be to extend the lease by ninety years. Similar flats in Wolston with an extended lease were worth £270,000. The mid-range ground rent payable was £55 invoiced quarterly. The lease concluded in 2100. Given that there were 74 years remaining we calculated the compensation to the freeholder to extend the lease to be within £9,500 and £11,000 exclusive of professional charges.

Wolston case:

Last Spring we were phoned by Dr Eli Roberts , who bought a recently refurbished flat in Wolston in April 2004. The question was if we could approximate the premium would likely be for a 90 year lease extension. Comparable flats in Wolston with a long lease were valued around £166,400. The mid-range ground rent payable was £60 invoiced per annum. The lease came to a finish in 2080. Having 54 years outstanding we calculated the compensation to the freeholder to extend the lease to be between £32,300 and £37,400 plus costs.