Main reasons to commence your Wythall lease extension

Top reasons for lease extension now:

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

On the balance of probabilities where you own a flat in Wythall you actually own a long leasehold interest over your property

An extended lease is almost the same value as a freehold

Leasehold properties in Wythall with over one hundred years outstanding on the lease are sometimes referred to as ‘virtual freehold’. This is where the lease value the same as a freehold interest in your property. In such circumstances there is often little to be gained by purchasing the reversionary interest unless savings on ground rent and service charges justify it.

Mortgage lenders will not finance a property on a short lease

Whether or not the lease is be regarded as a short lease depends on the specific mortgage company, yet mortgage lenders start to get jittery at around 75 years. This will cause difficulties once you come to market or remortgage your property as it will be effectively unmortgageable. You may not have an imminent desire to sell but when you do your purchaser will have to hold off for 2 years before being able to start the legal procedures for an extension to the lease.

Why use us for your lease extension in Wythall?

Retaining our service gives you enhanced control over the value of your Wythall leasehold, as your property will be more valuable and marketable in respect of lease length should you wish to sell. The conveyancing solicitors that we work with have a in-depth market knowledge handling many hundreds of lease extensions or freehold purchase transactions.

Wythall Lease Extension Example Cases:

Daniel, Wythall, Worcestershire,

Daniel was the the leasehold proprietor of a studio flat in Wythall on the market with a lease of fraction over 61 years outstanding. Daniel informally contacted his freeholder a well known Manchester-based freehold company for a lease extension. The freeholder was prepared to grant an extension on non-statutory terms taking the lease to 125 years on the basis of a new rent to start with set at £200 per annum and increase every twenty five years thereafter. No ground rent would be due on a lease extension were Daniel to exercise his statutory right. Daniel obtained expert legal guidance and was able to make a more informed decision and deal with the matter and sell the flat.

Wythall case:

Last February we were approach by Mr and Mrs. B Sharif , who moved into a basement flat in Wythall in June 2003. The question was if we could estimate the price could be for a ninety year extension to my lease. Identical flats in Wythall with 100 year plus lease were valued around £189,000. The average amount of ground rent was £55 collected yearly. The lease lapsed on 14 June 2079. Considering the 53 years remaining we approximated the premium to the landlord to extend the lease to be between £28,500 and £33,000 not including fees.

Wythall case:

Last Winter we were contacted by Ms Megan Gómez , who moved into a ground floor flat in Wythall in August 2007. We are asked if we could shed any light on how much (approximately) compensation to the landlord could be for a ninety year extension to my lease. Identical flats in Wythall with 100 year plus lease were valued around £290,000. The mid-range amount of ground rent was £45 collected per annum. The lease ran out in 2099. Taking into account 73 years outstanding we calculated the premium to the freeholder for the lease extension to be within £9,500 and £11,000 plus legals.