Main reasons to commence your Abbey Wood lease extension

Top reasons for lease extension now:

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

Abbey Wood leases on residential properties are gradually diminishing in value. The shorter the remaining lease term becomes, the less it is worth – and as a result any extension of your lease gets more expensive. Most owners of residential leasehold property in Abbey Wood enjoy rights under legislation to extend the terms of their leases. If you are a leasehold owner in Abbey Wood you must investigate if your lease has between seventy and 90 years remaining. In particular once the remaining lease term slips under eighty years, the premium due on any lease extension increases dramatically as part of the premium you will incur is what is known as a marriage value

Abbey Wood property with a lease extension is almost the same value as a freehold

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

Banks and Building Societies may decide not to lend with a short lease

Banks and building societies differ in their lending criteria. Some set the bar at seventy five years remaining on the lease; others may be prepared to lend with anything with more than 70 years. With less than 60 years, it may be impossible to obtain a mortgage in the first place.

Get in touch with one of our Abbey Wood lease extension solicitors or enfranchisement solicitors

Lease extensions in Abbey Wood can be a difficult process. We recommend you procure professional help from a lawyer and valuer with experience in lease extensions.

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 in-depth market knowledge dealing with Abbey Wood lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.

Abbey Wood Lease Extension Example Cases:

Sian, Abbey Wood, South East London,

Off the back of unsuccessful negotiations with the landlord of her purpose-built apartment in Abbey Wood, Sian initiated the lease extension process just as the lease was approaching the all-important 80-year mark. The lease extension completed in January 2007. The landlord’s fees were restricted to slightly above 450 pounds.

Abbey Wood case:

Last year we were approach by Mr Harrison Lefebvre , who bought a purpose-built apartment in Abbey Wood in February 2002. The question was if we could estimate the compensation to the landlord would likely be to extend the lease by an additional years. Comparative premises in Abbey Wood with 100 year plus lease were in the region of £181,600. The average ground rent payable was £55 invoiced monthly. The lease lapsed on 14 April 2078. Given that there were 52 years left we calculated the premium to the freeholder to extend the lease to be within £30,400 and £35,200 plus expenses.