Main reasons to commence your Beddington lease extension

Top reasons for lease extension now:

Increase your lease and increase your Beddington property value

It’s a harsh truth that a Beddington residential lease is a wasting asset. As the lease term reduces so does the value of the property. The extent of this is taken for granted in the early years due to the loss of value being disguised by increases in the Beddington property prices.Once your lease nears 85ish years, you need to start considering a lease extension. If the number of years remaining slips under eighty years, you will then be required to pay 50% of the property's 'marriage value' on top of the usual cost of the lease extension to the landlord. The marriage fee is the amount of extra value that a lease extension will add the property Most flat owners in Beddington will be able to extend under the legislation; however a lawyer will be able to confirm if you are eligibility. In some situations you may not be entitled. There are also strict timeframes and procedures to follow once the process is initiated and you will need to be guided by your conveyancing solicitor from beginning to end of the formalities.

An extended lease has roughly the same value as a freehold

Leasehold properties in Beddington with more than 100 years outstanding on the lease are sometimes referred to as ‘virtual freehold’. This is where the lease value the same as a freehold interest in your premises. In such situations there is often little to be gained by purchasing the reversionary interest unless savings on ground rent and service charges merit it.

Lending institutions will not grant a mortgage on a short lease

Mortgage companies will not grant a mortgage on short residential leases. You most probably encounter difficulties if you wish to sell your flat in Beddington if the unexpired term of your lease is less than the criteria set by most lenders. Different lenders have different criteria but generally they are looking for a minimum remaining lease term of 65 years.

What makes us experts in Beddington lease extensions?

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

Beddington Lease Extension Example Cases:

Ali, Beddington, South London

During the course of the last few months Ali, came perilously close to the 80-year mark with the lease on his basement apartment in Beddington. Having purchased his property two decades ago, the lease term was of minimal bearing. by good luck, he realised he needed to take steps soon on Extending the lease. Ali extended the lease just in the nick of time last January. Ali and the landlord in the end settled on an amount of £6,000 . If the lease had descended below eighty years, the figure would have become more exhorbitant by at least £1,125.

Beddington case:

Last September we were contacted by Dr Omar Norbert , who moved into a studio apartment in Beddington in September 2004. We are asked if we could estimate the premium could be for a ninety year extension to my lease. Comparable properties in Beddington with an extended lease were in the region of £285,000. The average amount of ground rent was £55 billed monthly. The lease came to a finish in 2105. Considering the 79 years left we approximated the compensation to the landlord to extend the lease to be between £13,300 and £15,400 plus legals.