Main reasons to start your Woolwich lease extension

Main reasons to commence your Woolwich lease extension today:

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

With a long leasehold premises in Woolwich, you are actually buying a right to live in a property for a set period of time. These days flat leases are usually granted for 99 years or 125. Even though this may appear like a long period of time, you should consider extending the lease sooner as opposed to later. Accepted thinking is that the shorter the lease is the cost of extending the lease increases markedly particularly when there are less than 80 years remaining. Anyone in Woolwich with a lease drawing near to 81 years remaining should seriously think of extending it without delay. Once the lease term has under 80 years left, under the current statute the landlord can calculate and charge a greater amount, based on a technical multiplication, strangely termed as “marriage value” which is due.

An extended lease has roughly the same value as a freehold

Leasehold properties in Woolwich with over 100 years outstanding on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your home. In such circumstances there is often little to be gained by purchasing the reversionary interest unless savings on ground rent and estate charges justify it.

Lenders may decide not to finance a property on a short lease

Mortgage companies will not grant a mortgage on short residential leases. You are likely to encounter difficulties if you need to sell your flat in Woolwich if the remaining term of your lease is below the criteria set by most mortgage companies. Different lenders have different requirements but in the main theyrequire an unexpired term of at least 65 years.

Get in touch with one of our Woolwich lease extension solicitors or enfranchisement solicitors

Lease extensions in Woolwich can be a difficult process. We recommend you secure professional help from a conveyancer and surveyor well versed in the legislation and lease extension process.

We provide you with an expert from a selection of lease extension solicitors, which ensures a targeted and efficient service as you have a dedicated port of call with an individual lawyer. Our lease extension solicitors have a wealth of experience procuring Woolwich lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.

Woolwich Lease Extension Case Studies:

Luke, Woolwich, South East London

In recent months Luke, came very near to the eighty-year mark with the lease on his first floor flat in Woolwich. Having purchased his home 19 years previously, the lease term was of little interest. Fortunately, it dawned on him that he would imminently be paying an inflated amount for a lease extension. Luke was able to extend his lease just in the nick of time in August. Luke and the freeholder in the end settled on the final figure of £6,000 . If he not met the deadline, the figure would have escalated by at least £950.

Woolwich case:

Mr and Mrs. I James purchased a garden apartment in Woolwich in November 2003. We are asked if we could shed any light on how much (approximately) compensation to the landlord would likely be for a 90 year lease extension. Comparative flats in Woolwich with 100 year plus lease were in the region of £248,000. The average amount of ground rent was £65 billed every twelve months. The lease terminated on 20 February 2089. Having 63 years unexpired we estimated the premium to the landlord for the lease extension to be within £20,000 and £23,000 exclusive of expenses.