Top reasons for Berrylands lease extension

Why you should commence your Berrylands lease extension today:

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

It’s an underpublicised truth that a Berrylands residential lease is a deteriorating asset. The lease value reduces in proportion to its lease length. The extent of this is not fully appreciated in the early years due to the depreciation being disguised by increases in the Berrylands property market.Where your lease has approximately 90 years left, you need to start thinking about a lease extension. If lease term dips below 80 years, you will end up paying 50% of the property's 'marriage value' in addition to the usual cost of the lease extension to the landlord. The marriage fee is the amount of additional 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 conveyancing solicitor should be able to confirm whether you are eligibility. In some situations you may not qualify. There are also strict deadlines and procedures to follow once the process has commenced and you will need to be guided by your conveyancer from beginning to end of the process.

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

It is conventional wisdom that a residential leasehold with over one hundred years remaining is worth roughly the equivalent as a freehold. Where an additional ninety years added to all but the shortest lease, the property will be worth the same as a freehold for many years in the future.

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

Most mortgage lenders insist on a lengthy amount of time left on any leasehold residence before they will consider it as adequate security. Even if you don't require a mortgage, you should be mindful that it is reasonable to assume that someone wishing to buy your property in the future might well do, so if they are unable to secure a mortgage, then the market price of the property could suffer. 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?

The conveyancers 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 conveyancing solicitor we work with provide it.

Berrylands Lease Extension Case Summaries:

Jude, Berrylands, South West London,

Jude was the the leasehold owner of a studio apartment in Berrylands being sold with a lease of just over 72 years unexpired. Jude informally contacted his freeholder a well known Manchester-based freehold company and enquired on a premium to extend the lease. The freeholder was prepared 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 £100 per annum and doubled every 25 years thereafter. No ground rent would be due on a lease extension were Jude to exercise his statutory right. Jude procured expert legal guidance and was able to make an informed decision and handle with the matter and ending up with a market value flat.

Berrylands case:

Mr M Baker was assigned a lease of a one bedroom flat in Berrylands in July 2007. The dilemma was if we could estimate the premium would likely be to extend the lease by a further 90 years. Comparative properties in Berrylands with a long lease were valued about £250,000. The mid-range ground rent payable was £50 billed per annum. The lease came to a finish on 15 September 2095. Given that there were 69 years as a residual term we estimated the premium to the landlord for the lease extension to be between £9,500 and £11,000 plus professional charges.