Main reasons to commence your Bromley lease extension

Main reasons to commence your Bromley lease extension today:

Increase your lease and increase your Bromley property value

Bromley leases on residential properties are gradually losing value. Where your lease has approximately ninety years unexpired, you should start thinking about a lease extension. If lease term is under 80 years, you will then be required to pay half of the property's 'marriage value' in addition to the standard cost of the lease extension to your landlord. Marriage value is the amount of extra value that a lease extension will add to the property. Leasehold owners in Bromley will mostly be legally entitled to a lease extension; however a solicitor will check if you qualify. In certain situations you may not qualify. There are also strict timetables and formalities to follow once the process has commenced so it’s wise to be guided by a conveyancer during the process.

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

Leasehold residencies in Bromley with in excess of one hundred years unexpired on the lease are sometimes referred to as ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your property. In such situations there is often little to be gained by purchasing the reversionary interest unless savings on ground rent and service charges warrant it.

Lending institutions will not finance a property with a short lease

Most mortgage lenders have constrained their lending criteria in recent years and borrowers are finding it increasingly difficult to raise finance or re-mortgage against flats with shorter lease terms, particularly below 75 years as they are considered to be insufficient for lending purposes.

Why use us for your lease extension in Bromley?

Regardless of whether you are a tenant or a landlord in Bromley,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 Bromley valuers.

Bromley Lease Extension Case Studies:

Rory, Bromley, South East London,

Rory was the the leasehold proprietor of a studio apartment in Bromley being sold with a lease of a few days over 72 years left. Rory informally contacted his landlord being a well known Manchester-based freehold company for a lease extension. The freeholder indicated a willingness to extend the lease to 125 years on the basis of a rise in the rent to £200 yearly. Ordinarily, ground rent would not be payable on a lease extension were Rory to invoke his statutory right. Rory obtained expert legal guidance and secured an acceptable resolution without resorting to tribunal and sell the flat.

Bromley case:

Last year we were phoned by Dr Bethan Gómez , who completed a studio flat in Bromley in March 2006. We are asked if we could shed any light on how much (roughly) price would be for a 90 year lease extension. Comparative properties in Bromley with an extended lease were valued about £183,600. The mid-range ground rent payable was £65 billed every twelve months. The lease came to a finish on 8 September 2083. Considering the 57 years outstanding we calculated the compensation to the landlord to extend the lease to be within £28,500 and £33,000 not including legals.