Main reasons to start your Woodley lease extension

Why you should commence your Woodley lease extension today:

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

With a residential leasehold property in Woodley, you effectively rent it for a certain period of time. Modern flat leases are usually granted for 99 years or 125. Many leasehold owners are unconcerned as this seems like a lengthy period of time, you should think about a lease extension sooner rather than later. Accepted thinking is that the shorter the lease is the cost of extending the lease gets disproportionately more expensive particularly when there are less than eighty years left. Anyone in Woodley with a lease nearing 81 years unexpired should seriously think of extending it as soon as possible. Once the lease term has fewer than eighty years outstanding, under the current Act the freeholder is entitled to calculate and demand a greater premium, based on a technical calculation, known as “marriage value” which is payable.

An extended lease is almost the same value as a freehold

It is conventional wisdom that a property with over 100 years remaining is worth approximately the same as a freehold. Where an further ninety years added to all but the shortest lease, the property will be worth the same as a freehold for many years ahead.

Banks and Building Societies may not loan monies with a short lease

Banks and building societies are inclined not lend on short residential leases. You most probably experience difficulties if you want to sell your flat in Woodley if the unexpired lease term is less than the criteria set by most banks and building societies. Different mortgage companies have different requirements but in the main they are looking for a minimum remaining lease term of 65 years.

Why use us for your lease extension in Woodley?

Irrespective of whether you are a tenant or a freeholder in Woodley,the lease extension experts that we work with will always be happy to discuss any residential leasehold matters and offer you the benefit of their in-depth market knowledge and the close ties they enjoy with Woodley valuers.

Woodley Lease Extension Case Summaries:

Finley, Woodley, Berkshire

In 2014 Finley, came very close to the eighty-year threshold with the lease on his studio flat in Woodley. In buying his home twenty years previously, the lease term was of little concern. As luck would have it, he realised he would soon be paying an escalated premium for Extending the lease. Finley was able to extend his lease at the eleventh hour last March. Finley and the landlord who owned the flat above subsequently settled on a premium of £5,000 . If he had missed the deadline, the premium would have increased by a minimum £1,075.

Woodley case:

In 2013 we were phoned by Mr and Mrs. M Lefèvre who, having was assigned a lease of a recently refurbished flat in Woodley in June 2002. We are asked if we could approximate the compensation to the landlord could be to extend the lease by ninety years. Comparative flats in Woodley with an extended lease were worth £275,000. The average ground rent payable was £55 billed yearly. The lease concluded on 5 November 2102. Considering the 76 years unexpired we calculated the compensation to the landlord for the lease extension to be within £9,500 and £11,000 not including fees.

Woodley case:

Dr Jessica André bought a one bedroom flat in Woodley in June 2008. The question was if we could estimate the price could be for a 90 year lease extension. Similar premises in Woodley with an extended lease were worth £176,200. The average ground rent payable was £65 collected quarterly. The lease elapsed in 2082. Taking into account 56 years outstanding we approximated the compensation to the freeholder for the lease extension to be between £29,500 and £34,000 exclusive of legals.