Top reasons for Berrylands lease extension

Main reasons to commence your Berrylands lease extension today:

Increase your lease and increase your Berrylands property value

It’s a harsh certainty that a Berrylands residential lease is a deteriorating asset. As the lease term diminishes so does the value of the property. The extent of this is taken for granted in the early years due to the reduction being disguised by increases in the Berrylands property prices.Once your lease gets to 85ish years, you need to start thinking about a lease extension. If lease term drops below 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. Marriage value is the amount of extra value that a lease extension will add the property The majority of flat owners in Berrylands will be able to extend under the legislation; however a lawyer will be able to confirm if you qualify for an extension. In some situations you may not be entitled. There are also strict timeframes and procedures to follow once the process is instigated and you will need to be guided by your conveyancing solicitor throughout the process.

An extended lease has roughly the same value as a freehold

Leasehold properties in Berrylands with over one hundred years unexpired on the lease are often 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 upside in purchasing the freehold unless savings on ground rent and service charges warrant it.

Banks and Building Societies will not loan monies on a short lease

The propensity since the credit crunch has been for lenders to tighten lending requirements across the board - this has extended to the property over which the mortgage is to be granted. This has resulted in the unexpired lease term required by mortgage companies has increased. Historically banks were content with twenty years plus the term of the loan - typically fifty year leases but those requirements evolved by the requirement for lengthy leases - many use a minimum term of 75 years as standard.

What makes us experts in Berrylands lease extensions?

The conveyancing solicitors that we work with undertake Berrylands 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.

Berrylands Lease Extension Case Studies:

Jasmine, Berrylands, South West London,

Trailing unsuccessful correspondence with the landlord of her garden apartment in Berrylands, Jasmine initiated the lease extension process just as the lease was nearing the critical eighty-year threshold. The lease extension was concluded in March 2006. The freeholder’s charges were negotiated to below 500 GBP.

Berrylands case:

In 2009 we were called by Mr and Mrs. L Scott who, having completed a ground floor flat in Berrylands in November 2008. The dilemma was if we could shed any light on how much (roughly) price could be for a ninety year extension to my lease. Comparative homes in Berrylands with an extended lease were worth £280,000. The mid-range amount of ground rent was £55 billed every twelve months. The lease concluded in 2104. Considering the 78 years as a residual term we estimated the compensation to the freeholder for the lease extension to be between £13,300 and £15,400 plus legals.