Top reasons for Camberwell lease extension

Main reasons to start your Camberwell lease extension today:

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

When it comes to long leasehold premises in Camberwell, you effectively rent it for a certain period of time. These days flat leases are usually granted for 99 years or 125. Even though this may appear like a long period of time, you may consider a lease extension sooner as opposed to later. Accepted thinking is that the shorter the lease is the cost of extending the lease increases markedly notably once there are less than 80 years remaining. Leasehold owners in Camberwell with a lease drawing near to 81 years remaining should seriously consider extending it without delay. When a lease has less than 80 years remaining, under the relevant legislation the freeholder is entitled to calculate and demand a larger premium, based on a technical calculation, strangely termed as “marriage value” which is due.

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

It is conventional wisdom that a property with over 100 years unexpired lease term is worth roughly the equivalent as a freehold. Where an further ninety years added to all but the shortest lease, the residence will be equivalent in value to a freehold for many years in the future.

Mortgage lenders may not grant a mortgage with a short lease

The propensity since over the last decade has been for lenders to tighten lending requirements generally - this has extended to the property over which the home loan is to be granted. This has meant the minimum number of years remaining under the lease required by mortgage companies has increased. In the past mortgage companies would lend on a lease with 25 years plus the term of the loan - routinely 50 year leases but those requirements have been chipped away by the requirement for longer and longer leases - many now have a minimum term of 75 years as a prerequisite.

Why use us for your lease extension in Camberwell?

The conveyancing solicitors that we work with undertake Camberwell 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.

Camberwell Lease Extension Case Summaries:

Jasmine, Camberwell, South East London,

In the wake of eight months of unsuccessful correspondence with the landlord of her garden flat in Camberwell, Jasmine commenced the lease extension process just as her lease was nearing the critical 80-year deadline. The transaction was concluded in September 2009. The landlord’s charges were negotiated to less than 450 pounds.

Camberwell case:

Last month we were called by Mr and Mrs. A Flores , who moved into a newly refurbished apartment in Camberwell in September 1999. We are asked if we could approximate the price could be to extend the lease by a further 90 years. Identical residencies in Camberwell with a long lease were valued around £240,600. The mid-range ground rent payable was £60 invoiced yearly. The lease termination date was in 2088. Having 62 years as a residual term we estimated the compensation to the freeholder to extend the lease to be between £21,900 and £25,200 exclusive of legals.