Main reasons to commence your Seven Kings lease extension

Main reasons to start your Seven Kings lease extension today:

A Seven Kings leasehold property depreciates with the years remaining on the lease.

The value of Seven Kings leasehold residential property falls as the lease term becomes shorter and this will have an impact on its saleability. The cost of a lease extension can escalate significantly once the unexpired lease term is less than 80 years

Seven Kings property with a lease extension 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 premises will be equivalent in value to a freehold for many years ahead.

Lenders may decide not to lend with a short lease

The propensity since over the last decade has been for banks to tighten lending criteria generally - 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 mortgage companies has increased. In the past banks would lend on a lease with twenty 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 use a minimum term of 75 years as a prerequisite.

What makes us experts in Seven Kings lease extensions?

Regardless of whether you are a tenant or a freeholder in Seven Kings,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 Seven Kings valuers.

Seven Kings Lease Extension Example Cases:

Kelsey, Seven Kings, North East London,

After protracted negotiations with the freeholder of her first floor apartment in Seven Kings, Kelsey commenced the lease extension process just as her lease was nearing the crucial 80-year threshold. The lease extension completed in April 2015. The freeholder’s fees were kept to an absolute minimum.

Seven Kings case:

Last Christmas we were e-mailed by Mr Felix López , who bought a ground floor flat in Seven Kings in June 2002. The question was if we could shed any light on how much (roughly) premium would likely be for a 90 year extension to my lease. Similar residencies in Seven Kings with an extended lease were valued around £280,000. The mid-range amount of ground rent was £55 collected every twelve months. The lease ended on 17 March 2104. Having 78 years outstanding we approximated the compensation to the landlord for the lease extension to be within £13,300 and £15,400 exclusive of fees.