Why you should commence your Brentwood lease extension

Why you should start your Brentwood lease extension today:

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

The only way is down when it comes to Brentwood lease terms. Brentwood properties that have a residual term shorter than 80 years will de-escalate in market price even faster, and the cost to extend your lease will go up.

An extended lease is almost the same value as a freehold

It is conventional wisdom that a property with over 100 years unexpired lease term is worth roughly the same as a freehold. Where an additional 90 years added to any lease with more than 35 years remaining, the residence will be equivalent in value to a freehold for decades to come.

Lending institutions will not grant a mortgage on a short lease

The definition of a short lease varies by mortgage company, yet banks and building societies start to get concerned at around 75 years. This may cause difficulties once you need to sell or remortgage your flat as it will be effectively unmortgageable. Even though you might have no immediate plan to sell but when you do your buyer must hold off for two years before they can commence the legal procedures for an extension to the lease.

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

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

Brentwood Lease Extension Example Cases:

Milo, Brentwood, Essex

Last October Milo, came very close to the eighty-year mark with the lease on his ground floor apartment in Brentwood. In buying his flat twenty years ago, the lease term was of little bearing. Luckily, he noticed he would soon be paying way over the odds for Extending the lease. Milo arranged for a lease extension just ahead of time last June. Milo and the freeholder subsequently settled on sum of £5,500 . If he had missed the deadline, the premium would have gone up by a minimum £975.

Brentwood case:

Mr and Mrs. Y Hill was assigned a lease of a purpose-built flat in Brentwood in April 1999. The dilemma was if we could approximate the price would likely be for a 90 year extension to my lease. Identical properties in Brentwood with an extended lease were in the region of £242,600. The mid-range amount of ground rent was £45 invoiced annually. The lease end date was on 10 September 2093. Given that there were 67 years as a residual term we calculated the premium to the freeholder to extend the lease to be within £11,400 and £13,200 exclusive of legals.