Main reasons to start your Wotton under Edge lease extension

Main reasons to commence your Wotton under Edge lease extension today:

Increase your lease and increase your Wotton under Edge property value

Wotton under Edge leases on residential properties are gradually diminishing in value. The shorter the remaining lease term becomes, the less it is worth – and accordingly any extension of your lease gets more expensive. Most owners of residential leasehold property in Wotton under Edge enjoy rights under legislation to extend the terms of their leases. Where you are a leasehold owner in Wotton under Edge you should investigate if your lease has between seventy and ninety years remaining. In particular once the remaining lease term slips under eighty years, the compensation to the landlord for any lease extension sharply increases as part of the premium you will incur is what is known as a marriage value

Wotton under Edge property with a lease extension has roughly the same value as a freehold

Leasehold properties in Wotton under Edge with over one hundred years unexpired on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease value 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 maintenance charges merit it.

Lenders may not grant a mortgage on a short lease

Mortgage companies will not grant a mortgage on short residential leases. You are likely to encounter difficulties if you wish to sell your flat in Wotton under Edge if the remaining lease term is below the criteria set by most banks and building societies. Different lenders have varying criteria but in the main theyrequire a minimum remaining lease term of 65 years.

Why use us for your lease extension in Wotton under Edge?

Irrespective of whether you are a tenant or a landlord in Wotton under Edge,the lease extension lawyers that we work with will always be willing to discuss any residential leasehold matters and offer you the benefit of their experience and the close ties they enjoy with Wotton under Edge valuers.

Wotton under Edge Lease Extension Case Studies:

Lucas, Wotton under Edge, Gloucestershire

Twenty four months ago Lucas, started to get near to the 80-year mark with the lease on his two bedroom flat in Wotton under Edge. In buying his property two decades ago, the length of the lease was of no importance. by good luck, he recognised he would imminently be paying an escalated premium for Extending the lease. Lucas was able to extend his lease just under the wire last September. Lucas and the freeholder ultimately settled on an amount of £6,000 . If the lease had descended below eighty years, the figure would have escalated by a minimum £1,150.

Wotton under Edge case:

Dr D Cooper moved into a purpose-built flat in Wotton under Edge in March 2000. The question was if we could approximate the compensation to the landlord would likely be for a ninety year lease extension. Identical properties in Wotton under Edge with a long lease were in the region of £280,000. The average amount of ground rent was £55 invoiced quarterly. The lease expired in 2104. Given that there were 78 years outstanding we calculated the premium to the landlord to extend the lease to be between £13,300 and £15,400 plus legals.

Wotton under Edge case:

In 2012 we were contacted by Ms Mollie Bailey who, having moved into a recently refurbished apartment in Wotton under Edge in November 2006. We are asked if we could estimate the compensation to the landlord would likely be to extend the lease by an additional years. Comparative premises in Wotton under Edge with an extended lease were valued around £191,000. The mid-range ground rent payable was £65 invoiced quarterly. The lease ended on 23 June 2084. Having 58 years as a residual term we calculated the premium to the landlord for the lease extension to be between £23,800 and £27,400 exclusive of fees.