Main reasons to start your Wooler lease extension

Why you should start your Wooler lease extension today:

A Wooler lease depreciates with the years remaining on the lease.

Wooler leases on domestic properties are gradually losing value. if your lease has about 90 years remaining, you should start thinking about a lease extension. If lease term dips under 80 years, you will then have to pay half of the property's 'marriage value' in addition to the standard cost of the lease extension to the landlord. Marriage value is the amount of additional value that a lease extension will add to the property. Flat owners in Wooler will mostly be legally entitled to a lease extension; however It would be wise to check with a conveyancing solicitor to confirm if you qualify. In some circumstances you may not be entitled. There are prescribed deadlines and steps to comply with once the process has commenced so it’s best to be guided by a conveyancer during the process.

An extended lease has roughly the same value as a freehold

It is conventional wisdom that a residential leasehold with in excess of one hundred years remaining is worth roughly the same as a freehold. Where an additional 90 years added to any lease with more than 35 years remaining, the premises will be equivalent in value to a freehold for decades to come.

Lenders may not finance a property with a short lease

Nearly all banks and building societies will not grant a mortgage on a lease with less than seventy years unexpired - although this varies between mortgage companies. A purchaser will no doubt encounter difficulties to obtain a mortgage and this will result in your Wooler property becoming difficult to sell or remortgage.

What makes us experts in Wooler lease extensions?

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

Wooler Lease Extension Case Summaries:

Aarav, Wooler, Northumberland

Two years ago Aarav, started to get near to the 80-year threshold with the lease on his leasehold apartment in Wooler. In buying his flat two decades ago, the length of the lease was of little bearing. Thankfully, he noticed he needed to take action soon on a lease extension. Aarav extended the lease at the eleventh hour in March. Aarav and the freeholder via the management company subsequently agreed on the final figure of £5,500 . If he failed to meet the deadline, the premium would have gone up by a minimum £1,150.

Wooler case:

In 2010 we were phoned by Ms Louise Sánchez who, having completed a garden apartment in Wooler in September 2012. We are asked if we could estimate the compensation to the landlord would be to prolong the lease by an additional years. Similar flats in Wooler with a long lease were in the region of £275,000. The average ground rent payable was £55 collected every twelve months. The lease elapsed on 2 March 2102. Considering the 76 years as a residual term we estimated the premium to the landlord to extend the lease to be within £9,500 and £11,000 exclusive of fees.

Wooler case:

Last Autumn we were approach by Dr P Ali , who purchased a first floor flat in Wooler in April 1996. The question was if we could estimate the price would likely be to extend the lease by 90 years. Comparable properties in Wooler with 100 year plus lease were in the region of £176,200. The average ground rent payable was £65 invoiced quarterly. The lease expiry date was on 19 May 2082. Taking into account 56 years as a residual term we estimated the premium to the landlord for the lease extension to be between £29,500 and £34,000 exclusive of legals.