Top reasons for Abbey Wood lease extension
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Why you should commence your Abbey Wood lease extension today: </h3>
<h4> A <a href="http://www.lendermonitor.com/conveyancing/loc/abbey-wood">Abbey Wood</a> lease depreciates with the years remaining on the lease.
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<p> The only way is down when it comes to Abbey Wood lease terms.
Abbey Wood flats that have a lease term lower than 80 years will drop in value even faster,
and the cost of extending your lease will increase.
<h4>Abbey Wood property with a lease extension is almost the same value as a freehold</h4>
<p> It is generally accepted that a residential leasehold with over one hundred years remaining is worth roughly the same as a freehold. Where an additional ninety years added to any lease with more than 45 years left, the premises will be worth the same as a freehold for many years in the future.
<h4>Lenders may decide not to lend with a short lease</h4> Mortgage companies do not like short residential leases. You most probably encounter difficulties where you wish to sell your flat in Abbey Wood if the unexpired term of your lease is below the criteria set by most lenders. Different lenders have different requirements but generally they are looking for an unexpired term of at least 65 years.
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<tr><th>Lender</th>
<th> Requirement
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<td>Accord Mortgages</td>
<td> 85 years from the date of completion of the mortgage. Please ensure that you explain the implications of a short term lease to the borrower.
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<td>Bank of Scotland</td>
<td> Minimum 70 years from the date of the mortgage.
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<td>Birmingham Midshires</td>
<td> Minimum 70 years from the date of the mortgage.
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<td>Leeds Building Society</td>
<td> 85 years remaining from the start of the mortgage.
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<td>Yorkshire Building Society</td>
<td> 85 years from the date of completion of the mortgage. Please ensure that you explain the implications of a short term lease to the borrower.
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<h4> Get in touch with one of our Abbey Wood lease extension solicitors or enfranchisement solicitors
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The conveyancers that we work with handle Abbey Wood 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 conveyancer we work with provide it.
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Abbey Wood Lease Extension Case Studies:
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<h5> Harry, Abbey Wood, South East London,</h5>
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Harry owned a conversion apartment in Abbey Wood being marketed with a lease of fraction over 61 years outstanding. Harry on an informal basis approached his freeholder being a well known local-based freehold company for a lease extension. The landlord indicated a willingness to grant an extension taking the lease to 125 years subject to a new rent to start with set at £200 per annum and increase every 25 years thereafter. Ordinarily, ground rent would not be payable on a lease extension were Harry to invoke his statutory right. Harry obtained expert legal guidance and was able to make an informed judgement and deal with the matter and ending up with a market value flat.
<h5>Abbey Wood case:</h5>
<p> Mr and Mrs. C Moreau acquired a one bedroom apartment in Abbey Wood in July 2009. The dilemma was if we could estimate the price would likely be to extend the lease by ninety years. Comparative premises in Abbey Wood with an extended lease were worth £213,600. The average ground rent payable was £60 collected every twelve months. The lease termination date was on 10 August 2083. Considering the 57 years unexpired we calculated the premium to the freeholder to extend the lease to be between £30,400 and £35,200 exclusive of legals.
<div> <h5>Decision in Bexley</h5>
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An example of a Lease Extension case for a Abbey Wood property is
Various @ Colombus Square in January 2012. the Tribunal calculated the premiums to be paid for new leases for each of the flats in Mariners Walk to be £3822 and the premium to be paid for the new lease of 2 Knights Court to be £4439.
This case related to 13 flats. The unexpired term was 76 years.
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