Why you should commence your Beddington South lease extension

Why you should start your Beddington South lease extension today:

Increase your lease and increase your Beddington South property value

Beddington South leases on residential properties are gradually losing value. if your lease has in the region of ninety years remaining, you should start considering the need for a lease extension. If lease term is under eighty years, you will then have to pay 50% of the property's 'marriage value' in addition to the standard cost of the lease extension to your landlord. Marriage value is the amount of extra value that a lease extension will add to the property. Flat owners in Beddington South will mostly be legally entitled to a lease extension; however it’s a good idea to check with a conveyancer to check your eligibility. In some circumstances you may not qualify. There are also strict deadlines and steps to comply with once the process has commenced so it’s prudent to be guided by a lawyer during the process.

Beddington South property with a lease extension is almost the same value as a freehold

Leasehold premises in Beddington South with in excess of one hundred 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 property. In such situations there is often little to be gained by purchasing the reversionary interest unless savings on ground rent and service charges justify it.

Banks and Building Societies will not grant a mortgage with a short lease

Almost all banks and building societies will be unwilling to grant a mortgage on a lease with less than seventy years remaining - although this varies from lender to lender. A buyer will undoubtedly encounter difficulties in obtaining a mortgage and this will result in your Beddington South property becoming difficult to dispose of or to obtain finance on.

Get in touch with one of our Beddington South lease extension solicitors or enfranchisement solicitors

The lawyers that we work with undertake Beddington South 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 lawyer we work with provide it.

Beddington South Lease Extension Case Summaries:

Jasper, Beddington South, South London,

Jasper was the the leasehold proprietor of a studio flat in Beddington South being marketed with a lease of a few days over 59 years outstanding. Jasper informally contacted his freeholder being a well known Manchester-based freehold company and enquired on a premium to extend the lease. The landlord indicated a willingness to grant an extension taking the lease to 125 years on the basis of an increased rent to £50 annually. No ground rent would be payable on a lease extension were Jasper to exercise his statutory right. Jasper 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.

Beddington South case:

Last April we were e-mailed by Mr and Mrs. S Flores , who purchased a ground floor flat in Beddington South in May 2006. We are asked if we could shed any light on how much (roughly) price would be for a 90 year extension to my lease. Similar homes in Beddington South with 100 year plus lease were valued around £275,000. The average amount of ground rent was £55 invoiced every twelve months. The lease lapsed on 9 October 2103. Considering the 77 years remaining we approximated the compensation to the freeholder to extend the lease to be between £13,300 and £15,400 exclusive of legals.