Why you should commence your Wroxham lease extension

Top reasons for lease extension now:

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

Wroxham leases on residential deteriorating in value. Where your lease has about ninety years unexpired, you should start considering the need for a lease extension. It is important to recognise that it is that it is financially advisable for your lease extension to be in place before the term of the current lease falls lower than eighty years - otherwise a higher premium will be payable. Flat owners in Wroxham will usually be legally entitled to a lease extension; however it’s a good idea to check with a lawyer to check if you qualify. In some circumstances you may not qualify. There are prescribed deadlines and steps to comply with once the process has started so it’s wise to be guided by a conveyancer during the process.

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

It is generally considered that a property with in excess of one hundred years unexpired lease term is worth roughly the same as a freehold. Where an further ninety years added to all but the shortest lease, the property will be equivalent in value to a freehold for many years ahead.

Lenders may not finance a property on a short lease

Banks and building societies are making their criteria more stringent and a meaningful number now want flats to have a minimum of 60 if not 70 years left at the expiry of the mortgage. Given that many flats in Wroxham were built in the 1950s, 1960s and 1970s this means many now need to be extended if they wish to get a mortgage.

Why use us for your lease extension in Wroxham?

The lawyers that we work with undertake Wroxham 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 conveyancer we work with provide it.

Wroxham Lease Extension Example Cases:

Tommy, Wroxham, Norfolk,

Tommy owned a high value flat in Wroxham on the market with a lease of a little over 61 years unexpired. Tommy on an informal basis approached his freeholder being a well known Bristol-based freehold company for a lease extension. The landlord indicated a willingness to grant an extension taking the lease to 125 years on the basis of a rise in the rent to £50 yearly. Ordinarily, ground rent would not be due on a lease extension were Tommy to invoke his statutory right. Tommy procured expert legal guidance and secured satisfactory deal informally and sell the property.

Wroxham case:

Last month we were phoned by Mr and Mrs. K Leroy , who purchased a garden flat in Wroxham in November 2009. We are asked if we could shed any light on how much (approximately) premium could be to extend the lease by 90 years. Similar flats in Wroxham with an extended lease were valued about £235,200. The average amount of ground rent was £45 collected per annum. The lease ran out on 22 January 2092. Having 66 years outstanding we approximated the premium to the landlord to extend the lease to be between £12,400 and £14,200 exclusive of costs.

Wroxham case:

Last Christmas we were phoned by Mr and Mrs. A Bell , who was assigned a lease of a studio apartment in Wroxham in July 2001. We are asked if we could approximate the price would likely be to prolong the lease by a further 90 years. Comparable flats in Wroxham with an extended lease were in the region of £280,000. The average ground rent payable was £55 collected every twelve months. The lease lapsed on 23 November 2103. Taking into account 77 years left we approximated the premium to the landlord to extend the lease to be between £13,300 and £15,400 not including expenses.