Why you should commence your Rush Green lease extension

Why you should commence your Rush Green lease extension today:

A Rush Green leasehold property depreciates with the years remaining on the lease.

As the the remaining lease term of a Rush Green residential lease diminished so does its value and therefore the value of your property. Where the lease has, more than 125 years remaining then this decrease may be of little impact that being said there will become a point in time when a lease has fewer than 80 years unexpired 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 main logic behind why you should consider extending without delay. Many flat owners in Rush Green will qualify for this right; that being said a conveyancing solicitor can advise whether you qualify to extend your lease. In certain situations you may not qualify, the most common reason being that you have owned the property for less than two years.

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

It is conventional wisdom that a property with in excess of 100 years remaining is worth approximately the equivalent as a freehold. Where an additional 90 years added to any lease with more than 45 years left, the residence will be equivalent in value to a freehold for decades to come.

Banks and Building Societies will not issue a mortgage on a short lease

The propensity since 2008 has been for banks to tighten lending requirements across the board - this has extended to the property over which the home loan is to be charged. This has meant the minimum number of years remaining under the lease required by lenders has increased. Historically lenders were content with 25 years plus the term of the loan - routinely fifty year leases but those requirements are being increasingly undermined by the requirement for longer and longer leases - many now have a minimum term of 75 years as a prerequisite.

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

The conveyancers that we work with procure Rush Green 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.

Rush Green Lease Extension Case Summaries:

Bethan, Rush Green, London,

Subsequent to protracted discussions with the landlord of her basement apartment in Rush Green, Bethan commenced the lease extension process just as the lease was approaching the critical 80-year mark. The transaction was finalised in February 2008. The freeholder’s charges were negotiated to less than four hundred GBP.

Rush Green case:

Last Spring we were approach by Mr V Jackson , who took over the lease of a studio apartment in Rush Green in April 2010. We are asked if we could shed any light on how much (roughly) price could be to prolong the lease by ninety years. Similar premises in Rush Green with an extended lease were in the region of £216,000. The mid-range amount of ground rent was £60 invoiced yearly. The lease elapsed on 20 November 2084. Taking into account 58 years as a residual term we approximated the compensation to the landlord to extend the lease to be between £28,500 and £33,000 exclusive of costs.