Main reasons to commence your Homerton lease extension

Top reasons for lease extension now:

Increase your lease and increase your Homerton property value

The market value of a leasehold property in Homerton is impacted by how many years the lease has remaining. If it is near to or fewer than eighty years you should anticipate difficulties on re-sale, so it is advisable to arrange for the lease to be extended ahead of buying. It is preferable to commence the process of extending the lease is when the lease still has 82 years to run so that a lease extension can be concluded well before the 80 year mark. Current legislation enables Homerton qualifying lessees to a ninety year extension added to their unexpired lease term (ie if your lease has 50 years left the statutory lease extension will provide a new term of 140 years). The purpose of the valuation is to determine the sum payable by the lessee to the freeholder for the acquisition of the lease extension.

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

It is generally accepted that a property with over one hundred years remaining is worth roughly the same as a freehold. Where an further ninety years added to all but the shortest lease, the residence will be worth the same as a freehold for many years ahead.

Lenders will not issue a mortgage with a short lease

Mortgage Lenders are distinct in their lending criteria. Some set the bar at seventy five years outstanding on the lease; others may be happy with anything in excess seventy years. With less than sixty years, it may be challenging to obtain a mortgage in the first place.

Why use us for your lease extension in Homerton?

Regardless of whether you are a tenant or a freeholder in Homerton,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 experience and the close ties they enjoy with Homerton valuers.

Homerton Lease Extension Case Studies:

Jodie, Homerton, London,

Off the back of unsuccessful discussions with the landlord of her ground floor flat in Homerton, Jodie commenced the lease extension process as the eighty year mark was quickly coming. The transaction was concluded in September 2010. The freeholder’s fees were kept to an absolute minimum.

Homerton case:

Mr K Pérez moved into a ground floor apartment in Homerton in March 2000. We are asked if we could estimate the price would likely be to extend the lease by ninety years. Identical premises in Homerton with 100 year plus lease were valued around £250,000. The mid-range ground rent payable was £50 billed quarterly. The lease ran out in 2094. Having 68 years remaining we estimated the compensation to the landlord for the lease extension to be within £10,500 and £12,000 exclusive of legals.