Why you should commence your Barnehurst lease extension

Main reasons to commence your Barnehurst lease extension today:

A Barnehurst leasehold property depreciates with the years remaining on the lease.

Barnehurst leases on residential properties are gradually losing value. The shorter the remaining lease term becomes, the less it is worth – and accordingly any extension of your lease becomes more expensive. Legislation has been in place for sometime now allowing qualifying Barnehurst residential leaseholders to extend the terms of long leases. Where you are a leasehold owner in Barnehurst you really ought to check if your lease has between 70 and 90 years remaining. In particular once the remaining lease term slips under 80 years, the cost of any lease extension increases dramatically as part of the premium you will incur is what is known as a marriage value

An extended lease has roughly the same value as a freehold

It is generally considered that a residential leasehold with in excess of 100 years remaining is worth roughly the same as a freehold. Where an further 90 years added to all but the shortest lease, the residence will be equivalent in value to a freehold for many years in the future.

Lending institutions will not lend with a short lease

Many banks and building societies will not grant a mortgage on a lease with under seventy years left to run - although this varies from lender to lender. A buyer will likely find it difficult in obtaining a mortgage and this could result in your Barnehurst property becoming difficult to sell or refinance.

Why use us for your lease extension in Barnehurst?

Retaining our service gives you enhanced control over the value of your Barnehurst leasehold, as your property will be more valuable and saleable in respect of lease length should you wish to sell. The conveyancers that we work with have a in-depth market knowledge handling many hundreds of lease extensions or freehold purchase transactions.

Barnehurst Lease Extension Case Studies:

Ben, Barnehurst, South East London,

Ben was the the leasehold owner of a high value apartment in Barnehurst on the market with a lease of fraction over fifty eight years remaining. Ben informally contacted his landlord being a well known Bristol-based freehold company and enquired on a premium to extend the lease. The freeholder was keen to agree an extension on non-statutory terms taking the lease to 125 years on the basis of a new rent to start with set at £150 per annum and increase every twenty five years thereafter. No ground rent would be due on a lease extension were Ben to invoke his statutory right. Ben procured expert legal guidance and secured satisfactory resolution without going to tribunal and sell the property.

Barnehurst case:

Mr and Mrs. W Pérez took over the lease of a garden apartment in Barnehurst in July 2002. The question was if we could shed any light on how much (approximately) premium would be for a 90 year extension to my lease. Comparative premises in Barnehurst with 100 year plus lease were worth £285,000. The average amount of ground rent was £45 collected yearly. The lease terminated on 24 January 2098. Given that there were 72 years outstanding we calculated the compensation to the landlord to extend the lease to be within £12,400 and £14,200 not including legals.