Why you should commence your Abbey Wood lease extension

Why you should start your Abbey Wood lease extension today:

A Abbey Wood leasehold property depreciates with the years remaining on the lease.

There is no doubt about it a leasehold property in Abbey Wood is a wasting asset as a result of the diminishing lease term. Where the residual term has, beyond 125 years to run then this decrease may be negligible that being said there will become a stage when a lease has under than eighty years unexpired as part of the premium you will incur is what is termed as a marriage value. This could increase markedly the cost. It is the primary rational as to why you should consider extending without delay. Many flat owners in Abbey Wood will meet the qualifying criteria; nevertheless a lawyer can advise whether you are eligible to extend your lease. In limited situations you may not qualify, the most common reason being that you have owned the property for under two years.

Abbey Wood property with a lease extension has roughly the same value as a freehold

Leasehold properties in Abbey Wood with more than 100 years outstanding on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your premises. In such circumstances there is often little upside in buying the reversionary interest unless savings on ground rent and maintenance charges merit it.

Lenders may not loan monies on a short lease

Banks and building societies do not like short residential leases. You most probably experience difficulties if you want to sell your flat in Abbey Wood if the remaining term of your lease is under the criteria set by the majority of mortgage companies. Different mortgage companies have different requirements but on the whole they are looking for a minimum remaining lease term of seventy years.

Why use us for your lease extension in Abbey Wood?

Regardless of whether you are a tenant or a freeholder in Abbey Wood,the lease extension solicitors that we work with will always be prepared to discuss any residential leasehold matters and offer you the benefit of their in-depth market knowledge and the close ties they enjoy with Abbey Wood valuers.

Abbey Wood Lease Extension Example Cases:

Harrison, Abbey Wood, South East London

Last year Harrison, came very close to the eighty-year threshold with the lease on his garden apartment in Abbey Wood. In buying his flat 18 years ago, the lease term was of no bearing. Luckily, he realised he needed to take action soon on a lease extension. Harrison extended the lease just ahead of time in April. Harrison and the freeholder in the end settled on an amount of £5,500 . If the lease had dipped below 80 years, the price would have gone up by a minimum £1,025.

Abbey Wood case:

In 2013 we were approached by Mrs H Moore who, having took over the lease of a ground floor apartment in Abbey Wood in April 2010. We are asked if we could estimate the price would likely be to prolong the lease by a further 90 years. Comparable properties in Abbey Wood with a long lease were valued around £201,200. The average ground rent payable was £55 billed every twelve months. The lease concluded on 22 April 2082. Considering the 56 years unexpired we calculated the premium to the landlord to extend the lease to be between £31,400 and £36,200 plus professional charges.