Top reasons for Pratt's Bottom lease extension

Main reasons to start your Pratt's Bottom lease extension today:

A Pratt's Bottom lease depreciates with the years remaining on the lease.

It’s an underpublicised truth that a Pratt's Bottom residential lease is a wasting asset. As the lease term reduces so does the value of the property. The extent of this is taken for granted in the first few years due to the deflation being disguised by increases in the Pratt's Bottom property market.Once your lease nears 85ish years, you should start thinking about a lease extension. If the number of years remaining falls under 80 years, you will end up paying half of the property's 'marriage value' on top of the usual cost of the lease extension to the landlord. Marriage value is the amount of additional value that a lease extension will add the property The majority of leasehold owners in Pratt's Bottom will be able to extend under the legislation; however a conveyancer will be able to confirm if you are eligibility. In some situations you may not be entitled. There are also strict timeframes and procedures to follow once the process has commenced and you will need to be guided by your conveyancing solicitor for the duration of the process.

An extended lease has roughly the same value as a freehold

It is conventional wisdom that a residential leasehold with over 100 years remaining is worth roughly the equivalent as a freehold. Where an further 90 years added to all but the shortest lease, the property will be equivalent in value to a freehold for many years ahead.

Lending institutions may not finance a property with a short lease

Many banks and building societies insist on a lengthy amount of time remaining on a leasehold property before they will consider lending on it. Even if you don't need a mortgage, you should be aware that it is likely that someone wanting to purchase your property in the future might well do, so in the event that they are unable to get a mortgage, then the value of your property will likely be adversely impacted. In the last decade most mortgage lenders have increased the required minimum lease length that they are willing to grant a mortgage on

Get in touch with one of our Pratt's Bottom lease extension solicitors or enfranchisement solicitors

The conveyancing solicitors that we work with handle Pratt's Bottom lease extensions and help protect your position. A lease extension can be arranged to be completed to coincide with a change of ownership so the costs of the lease extension are paid for using part of the sale proceeds. You really do need expert legal advice in this difficult and technical area of law. The lawyer we work with provide it.

Pratt's Bottom Lease Extension Example Cases:

Eliot, Pratt's Bottom, South East London

In 2014 Eliot, started to get near to the 80-year mark with the lease on his garden apartment in Pratt's Bottom. Having purchased his property 19 years ago, the lease term was of minimal interest. by good luck, he noticed he needed to take action soon on Extending the lease. Eliot arranged for a lease extension just under the wire in January. Eliot and the landlord in the end settled on sum of £5,000 . If he had missed the deadline, the sum would have increased by a minimum £850.

Pratt's Bottom case:

Ms Y Ward completed a first floor apartment in Pratt's Bottom in July 1995. The question was if we could shed any light on how much (roughly) price could be to prolong the lease by an additional years. Comparable properties in Pratt's Bottom with an extended lease were worth £295,000. The average ground rent payable was £45 collected monthly. The lease expiry date was on 8 February 2100. Taking into account 74 years remaining we calculated the premium to the landlord for the lease extension to be between £8,600 and £9,800 plus fees.