Main reasons to start your East Beckton lease extension

Main reasons to commence your East Beckton lease extension today:

A East Beckton leasehold property depreciates with the years remaining on the lease.

With a long leasehold property in East Beckton, you are actually buying an entitlement to reside in a property for a prescribed time frame. 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 rather than later. The general rule is that the shorter the number of years is the cost of extending the lease becomes disproportionately greater particularly when there are less than 80 years left. Leasehold owners in East Beckton with a lease drawing near to 81 years unexpired should seriously consider extending it as soon as possible. When the lease term has below eighty years left, under the current statute the landlord can calculate and levy a larger premium, assessed on a technical multiplication, strangely termed as “marriage value” which is payable.

An extended lease is almost the same value as a freehold

It is conventional wisdom that a residential leasehold with more than one hundred years unexpired lease term is worth roughly the equivalent as a freehold. Where an further 90 years added to any lease with more than 35 years remaining, the residence will be worth the same as a freehold for many years ahead.

Lenders will not grant a mortgage on a short lease

Mortgage companies are really restricting their approach as regards to homes in East Beckton with short leases. For instance you may find that their lending criteria are stricter and that they alter interest rates depending on the unexpired lease term. Some may even refrain from lending completely, so where you wanted to sell, your remaining options would be to find a cash buyer, or try your luck at auction thus reducing your market.

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

The conveyancing solicitors that we work with undertake East Beckton 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.

East Beckton Lease Extension Case Summaries:

Katie, East Beckton, London,

After unsuccessful correspondence with the landlord of her basement apartment in East Beckton, Katie started the lease extension process as the eighty year deadline was quickly nearing. The legal work was concluded in August 2013. The freeholder’s charges were kept to an absolute minimum.

East Beckton case:

Last month we were approach by Mr Jack Collins , who took over the lease of a ground floor flat in East Beckton in November 2011. We are asked if we could estimate the premium could be for a 90 year lease extension. Identical homes in East Beckton with a long lease were valued around £227,800. The average amount of ground rent was £45 collected annually. The lease expired on 26 November 2091. Having 65 years unexpired we approximated the compensation to the landlord for the lease extension to be between £13,300 and £15,400 plus legals.