Top reasons for Catford lease extension

Top reasons for lease extension now:

Increase your lease and increase your Catford property value

With a domestic leasehold property in Catford, you are in fact renting it for a certain amount of time. In recent years 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 notably once there are less than 80 years left. Residents in Catford with a lease drawing near to 81 years unexpired should seriously consider extending it as soon as possible. Once a lease has below eighty years remaining, under the current legislation the landlord is entitled to calculate and levy a greater amount, based on a technical calculation, known as “marriage value” which is payable.

An extended lease is almost the same value as a freehold

Leasehold premises in Catford with in excess of 100 years unexpired on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your property. In such situations there is often little to be gained by buying the reversionary interest unless savings on ground rent and estate charges merit it.

Banks and Building Societies will not finance a property on a short lease

Whether or not the lease is be regarded as a short lease varies by mortgage company, yet banks and building societies start to get concerned at around 75 years. This will cause difficulties as and when you come to dispose of or refinance your flat as it will be effectively unmortgageable. You may not have an immediate intention to sell but when you do your purchaser will need to wait a couple of years before they can commence the legal procedures for an extension to the lease.

Why use us for your lease extension in Catford?

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

Catford Lease Extension Example Cases:

Hannah, Catford, South East London,

Subsequent to protracted negotiations with the landlord of her first floor flat in Catford, Hannah started the lease extension process as the eighty year threshold was rapidly approaching. The lease extension was finalised in September 2015. The freeholder’s fees were restricted to below 600 GBP.

Catford case:

Last Spring we were approach by Mr F Kelly , who bought a one bedroom flat in Catford in September 2008. We are asked if we could shed any light on how much (approximately) price could be for a 90 year lease extension. Identical properties in Catford with a long lease were in the region of £246,800. The mid-range amount of ground rent was £60 billed every twelve months. The lease ran out on 27 April 2076. Taking into account 50 years as a residual term we calculated the premium to the landlord for the lease extension to be within £44,700 and £51,600 exclusive of professional charges.