Main reasons to commence your Hornchurch lease extension

Top reasons for lease extension now:

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

The closer a domestic lease in Hornchurch nears to zero years unexpired, the more it reduces the value of the property. Where the residual term has, beyond 99 years remaining then this decrease may be of little impact however there will become a point in time when a lease has less than 80 years unexpired as part of the premium you will incur is what is known as a marriage value. This could increase markedly the cost. It is the primary rational as to why you should consider extending sooner than later. The majority of flat owners in Hornchurch will meet the qualifying criteria; nevertheless a conveyancer can confirm whether you qualify for a lease extension. In limited situations you may not qualify, the most frequent reason being that you have owned the property for less than two years.

An extended lease is almost the same value as a freehold

Leasehold premises in Hornchurch with in excess of one hundred years outstanding on the lease are often regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your home. In such circumstances there is often little upside in buying the freehold unless savings on ground rent and maintenance charges warrant it.

Mortgage lenders may decide not to lend with a short lease

Mortgage companies are really clamping down as regards to properties in Hornchurch with short leases. For instance you might discover that their lending criteria are stricter and that they alter interest rates depending on how many years are left on the lease. Some may even refrain from lending completely, so where you needed to sell, your remaining options would be to find a cash purchaser, or try your luck at auction thus restricting the number of prospective buyers.

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

Irrespective of whether you are a tenant or a freeholder in Hornchurch,the lease extension experts 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 Hornchurch valuers.

Hornchurch Lease Extension Example Cases:

Caitlin, Hornchurch, London,

Off the back of protracted discussions with the freeholder of her first floor flat in Hornchurch, Caitlin initiated the lease extension process just as her lease was coming close to the all-important eighty-year deadline. The lease extension completed in November 2013. The freeholder’s fees were kept to an absolute minimum.

Hornchurch case:

In 2012 we were contacted by Dr J Bell who, having was assigned a lease of a newly refurbished flat in Hornchurch in October 2011. The question was if we could shed any light on how much (approximately) price would likely be to extend the lease by 90 years. Comparative residencies in Hornchurch with a long lease were in the region of £235,600. The mid-range ground rent payable was £60 collected quarterly. The lease finished in 2088. Given that there were 62 years as a residual term we estimated the premium to the freeholder for the lease extension to be within £21,900 and £25,200 exclusive of fees.