Main reasons to start your Charterhouse lease extension

Main reasons to start your Charterhouse lease extension today:

A Charterhouse leasehold property depreciates with the years remaining on the lease.

Unfortunately that a Charterhouse residential lease is a deteriorating asset. The lease value drops in proportion to its lease length. The extent of this is not fully appreciated in the early years due to the deflation being disguised by increases in the Charterhouse property market.Once your lease gets to 85ish years, you should start considering a lease extension. An important point to note is that it is desirable for lease extension to take place before the term of the existing lease dips lower than eighty years - otherwise a higher premium will be payable. The majority of leasehold owners in Charterhouse will be able to extend under the legislation; however a conveyancer will be able to clarify whether you are eligibility. In some situations you may not be entitled. There are also strict timetables and procedures to be adhered to once the process has commenced and you will need to be guided by your conveyancing solicitor from beginning to end of the process.

An extended lease is almost the same value as a freehold

It is conventional wisdom that a residential leasehold with more than 100 years remaining is worth approximately the equivalent as a freehold. Where an additional 90 years added to all but the shortest lease, the premises will be equivalent in value to a freehold for decades to come.

Banks and Building Societies may decide not to issue a mortgage with a short lease

Lenders are making their criteria more stringent and many now require flats to have at least 60 if not 70 years left at the expiry of the mortgage. Given that plenty of flats in Charterhouse were created in the fifties, sixties and seventies as a result many now need to be extended if they if they are to be mortgageable.

What makes us experts in Charterhouse lease extensions?

Using our service gives you enhanced control over the value of your Charterhouse leasehold, as your property will be more valuable and marketable in relation to the lease length should you wish to sell. The conveyancers that we work with have a in-depth market knowledge handling many hundreds of lease extensions or freehold purchase transactions.

Charterhouse Lease Extension Case Summaries:

Joshua, Charterhouse, London

Two years ago Joshua, came critically close to the 80-year mark with the lease on his two bedroom apartment in Charterhouse. In buying his property 19 years previously, the unexpired term was of no interest. As luck would have it, he recognised he would imminently be paying way over the odds for a lease extension. Joshua was able to extend his lease just in the nick of time in May. Joshua and the landlord who owned the flat above subsequently agreed on sum of £5,000 . If the lease had descended lower than 80 years, the amount would have gone up by a minimum £1,150.

Charterhouse case:

Last year we were called by Dr A Baker , who owned a ground floor flat in Charterhouse in September 2007. The dilemma was if we could approximate the premium would likely be to prolong the lease by a further 90 years. Comparable flats in Charterhouse with an extended lease were worth £257,800. The mid-range amount of ground rent was £65 invoiced per annum. The lease terminated on 9 February 2091. Considering the 65 years left we estimated the compensation to the landlord to extend the lease to be within £18,100 and £20,800 plus professional charges.