Top reasons for Pratt's Bottom lease extension

Top reasons for lease extension now:

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

There is no doubt about it a leasehold flat or house in Pratt's Bottom is a wasting asset as a result of the shortening lease. If the lease has, more than one hundred years remaining then this decrease may be of little impact however there will become a stage when a lease has under than eighty years left as part of the premium you will incur is what is termed as a marriage value. This could increase sharply the cost. It is the primary reason why you should consider extending sooner than later. The majority of flat owners in Pratt's Bottom will qualify for this right; nevertheless a conveyancer will be able to confirm whether you qualify for a lease extension. In limited situations you may not qualify, the most common reason being that you have owned the property for under two years.

An extended lease has roughly the same value as a freehold

It is generally accepted that a property with in excess of 100 years unexpired lease term is worth approximately the same as a freehold. Where an additional ninety years added to all but the shortest lease, the residence will be worth the same as a freehold for decades to come.

Lenders may decide not to issue a mortgage on a short lease

The propensity since the credit crunch has been for lenders to tighten lending requirements across the board - this has extended to the types of security over which the home loan is to be granted. This has resulted in the unexpired lease term required by banks has increased. In the past mortgage companies would lend on a lease with 25 years plus the term of the loan - routinely fifty year leases but those requirements are being increasingly undermined by the requirement for lengthy leases - many now have a minimum term of 75 years as a prerequisite.

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

Lease extensions in Pratt's Bottom can be a difficult process. We recommend you get professional help from a lawyer and valuer with experience in this area.

We provide you with an expert from a selection of lease extension solicitors, which ensures a targeted and efficient service as you have a dedicated port of call with an individual lawyer. Our lease extension solicitors have a wealth of experience dealing with Pratt's Bottom lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.

Pratt's Bottom Lease Extension Case Studies:

Thomas, Pratt's Bottom, South East London

14 months ago Thomas, came precariously close to the eighty-year threshold with the lease on his one bedroom apartment in Pratt's Bottom. Having bought his flat 19 years ago, the length of the lease was of no concern. Luckily, he noticed he needed to take steps soon on Extending the lease. Thomas extended the lease just under the wire in January. Thomas and the landlord who owned the flat above ultimately settled on an amount of £5,500 . If he failed to meet the deadline, the price would have escalated by at least £1,150.

Pratt's Bottom case:

In 2013 we were phoned by Mr James Gómez who, having bought a first floor flat in Pratt's Bottom in October 2009. We are asked if we could approximate the compensation to the landlord could be to extend the lease by 90 years. Comparative premises in Pratt's Bottom with a long lease were in the region of £280,000. The mid-range amount of ground rent was £45 invoiced quarterly. The lease elapsed in 2096. Taking into account 70 years as a residual term we approximated the premium to the landlord for the lease extension to be between £12,400 and £14,200 exclusive of legals.