Main reasons to start your Balham lease extension

Main reasons to commence your Balham lease extension today:

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

Balham leases on residential properties are gradually losing value. The shorter the remaining lease term becomes, the less it is worth – and accordingly any extension of the lease becomes more expensive. Most owners of residential leasehold property in Balham enjoy rights under legislation to extend the terms of their leases. Where you are a leasehold owner in Balham you must see if your lease has between seventy and ninety years remaining. In particular once the remaining lease term slips under eighty years, the amount payable for any lease extension increases dramatically as an element of the premium you pay is what is known as a marriage value

Balham property with a lease extension is almost the same value as a freehold

It is conventional wisdom that a residential leasehold with in excess of 100 years unexpired lease term is worth roughly the equivalent as a freehold. Where an further 90 years added to all but the shortest lease, the property will be worth the same as a freehold for many years in the future.

Lenders will not lend on a short lease

Mortgage companies do not like short residential leases. You are likely to experience difficulties if you wish to sell your flat in Balham if the remaining term of your lease is below the criteria set by the majority of lenders. Different lenders have varying criteria but in the main they are looking for a minimum remaining lease term of 65 years.

What makes us experts in Balham lease extensions?

Regardless of whether you are a tenant or a landlord in Balham,the lease extension solicitors 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 Balham valuers.

Balham Lease Extension Example Cases:

Jack, Balham, South West London,

Jack owned a high value apartment in Balham being marketed with a lease of a little over 61 years unexpired. Jack on an informal basis approached his freeholder being a well known Bristol-based freehold company for a lease extension. The freeholder indicated a willingness to extend the lease to 125 years subject to an increased rent to £125 yearly. Ordinarily, ground rent would not be due on a lease extension were Jack to exercise his statutory right. Jack obtained expert legal guidance and was able to make an informed judgement and deal with the matter and readily saleable.

Balham case:

Last July we were phoned by Mrs I Miller , who purchased a purpose-built apartment in Balham in September 2001. The question was if we could shed any light on how much (roughly) price would be to prolong the lease by an additional years. Comparable residencies in Balham with a long lease were in the region of £208,200. The average ground rent payable was £65 billed monthly. The lease elapsed on 16 November 2086. Considering the 61 years remaining we approximated the compensation to the freeholder to extend the lease to be between £20,000 and £23,000 exclusive of costs.