Main reasons to start your Belvedere lease extension

Main reasons to start your Belvedere lease extension today:

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

Belvedere leases on residential deteriorating in value. Where your lease has about ninety years left, you should start thinking about a lease extension. If lease term is under 80 years, you will then have to pay 50% of the property's 'marriage value' in addition to the standard cost of the lease extension to the landlord. Marriage value is the amount of additional value that a lease extension will add to the property. Leasehold owners in Belvedere will usually be legally entitled to a lease extension; however It would be wise to check with a conveyancer to confirm your eligibility. In some situations you may not be entitled. There are also strict deadlines and steps to follow once the process is initiated so it’s wise to be guided by a conveyancing solicitor during the process.

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

Leasehold residencies in Belvedere with in excess of 100 years left on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your premises. In such situations there is often little upside in buying the reversionary interest unless savings on ground rent and service charges warrant it.

Lenders may not finance a property on a short lease

Almost all mortgage companies require a lengthy amount of time remaining on any leasehold property before they will contemplate it as adequate security. Even if you don't require a mortgage, you should be conscious that it is likely that someone intending to purchase your property in the future might well do, so in the event that they can't secure a mortgage, then the market price of the property will likely be adversely impacted. Since 2008 many mortgage lenders have increased the required minimum lease length that they are prepared to grant a mortgage on

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

Regardless of whether you are a tenant or a landlord in Belvedere,the lease extension solicitors that we work with will always be prepared to discuss any residential leasehold matters and offer you the benefit of their in-depth market knowledge and the close ties they enjoy with Belvedere valuers.

Belvedere Lease Extension Case Studies:

Joshua, Belvedere, South East London,

Joshua owned a conversion flat in Belvedere being marketed with a lease of a little over 72 years left. Joshua on an informal basis spoke with his landlord being a well known Manchester-based freehold company and enquired on a premium to extend the lease. The landlord was keen to grant an extension on non-statutory terms taking the lease to 125 years on the basis of an increased rent to £200 per annum. Ordinarily, ground rent would not be payable on a lease extension were Joshua to exercise his statutory right. Joshua obtained expert advice and secured satisfactory resolution informally and ending up with a market value flat.

Belvedere case:

Dr Caleb Mitchell owned a studio flat in Belvedere in October 2007. We are asked if we could approximate the premium would likely be for a 90 year lease extension. Identical premises in Belvedere with a long lease were worth £290,000. The average ground rent payable was £45 billed every twelve months. The lease came to a finish in 2099. Taking into account 73 years remaining we estimated the premium to the freeholder to extend the lease to be between £8,600 and £9,800 not including expenses.