Why you should commence your Berrylands lease extension

Main reasons to start your Berrylands lease extension today:

A Berrylands lease depreciates with the years remaining on the lease.

When it comes to long leasehold property in Berrylands, you are in fact renting it for a certain amount of time. Modern flat leases typically tend to be for 99 years or 125. Even though this may appear like a long period of time, you may consider extending the lease sooner as opposed to later. Accepted thinking is that the shorter the number of years is the cost of extending the lease increases markedly particularly when there are fewer than eighty years left. Anyone in Berrylands with a lease approaching 81 years unexpired should seriously consider extending it without delay. Once the lease term has fewer than eighty years outstanding, under the relevant Act the freeholder is entitled to calculate and levy a greater amount, assessed on a technical calculation, strangely termed as “marriage value” which is due.

Berrylands property with a lease extension has roughly the same value as a freehold

Leasehold residencies in Berrylands with over one hundred years left on the lease are sometimes referred to as ‘virtual freehold’. This is where the lease value the same as a freehold interest in your home. In such situations there is often little upside in purchasing the reversionary interest unless savings on ground rent and estate charges warrant it.

Mortgage lenders may not grant a mortgage on a short lease

Many mortgage companies insist on a lengthy amount of time left on a leasehold residence before they will contemplate providing a mortgage on it. Regardless of whether you need a mortgage, you should be mindful that it is reasonable to assume that someone wishing to acquire your property in the future might well do, so where they can't obtain a mortgage, then the market price of the property could be adversely impacted. In the last decade many banks and building societies have increased the required minimum lease length that they are willing to lend on

What makes us experts in Berrylands lease extensions?

Engaging our service will provide you enhanced control over the value of your Berrylands leasehold, as your property will be more valuable and marketable in respect of lease length should you wish to sell. The conveyancers that we work with have a wealth of experience of handling many hundreds of lease extensions or freehold purchase transactions.

Berrylands Lease Extension Example Cases:

Jacob, Berrylands, South West London

Last year Jacob, started to get close to the 80-year mark with the lease on his garden flat in Berrylands. Having bought his flat 18 years previously, the lease term was of no significance. Thankfully, he recognised he would imminently be paying way over the odds for Extending the lease. Jacob arranged for a lease extension at the eleventh hour last May. Jacob and the landlord who owned the flat above ultimately agreed on a premium of £5,500 . If he had missed the deadline, the figure would have become more exhorbitant by at least £950.

Berrylands case:

Mrs Abbie Michel took over the lease of a purpose-built flat in Berrylands in September 2006. We are asked if we could shed any light on how much (approximately) premium could be to extend the lease by 90 years. Comparable homes in Berrylands with an extended lease were worth £261,600. The mid-range ground rent payable was £60 invoiced annually. The lease terminated on 24 March 2077. Taking into account 52 years remaining we approximated the compensation to the freeholder for the lease extension to be between £39,000 and £45,000 not including professional charges.