Main reasons to commence your East Ham lease extension

Main reasons to commence your East Ham lease extension today:

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

The re-sale value of a leasehold property in East Ham is impacted by how many years the lease has left to run. If it is close to or less than 80 years you should foresee difficulties on re-sale, so it is recommended to arrange for a lease extension ahead of purchasing. It is ideal to start the process of extending the lease is when the lease still has 82 years remaining so that all matters can be finalised in advance of the 80 year threshold. Current legislation entitles East Ham qualifying lessees to obtain a new lease which will be for the current unexpired lease term plus a further term of ninety years. The intention of the valuation is to determine the sum payable by the lessee to the freeholder for the purchase of the lease extension.

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

It is generally accepted 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 all but the shortest lease, the premises will be equivalent in value to a freehold for decades to come.

Lending institutions may not lend on a short lease

Most high street banks are making their criteria more stringent and many now want flats to have at least sixty if not seventy years remaining at the expiry of the mortgage. As plenty of flats in East Ham were created in the fifties, sixties and seventies as a result many now need to be extended if they wish to get a mortgage.

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

The conveyancers that we work with procure East Ham 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 conveyancing solicitor we work with provide it.

East Ham Lease Extension Example Cases:

Melissa, East Ham, London,

Following unsuccessful discussions with the freeholder of her leasehold flat in East Ham, Melissa initiated the lease extension process as the eighty year deadline was quickly advancing. The legal work completed in November 2014. The landlord’s costs were negotiated to less than 450 GBP.

East Ham case:

Last Summer we were approach by Mr and Mrs. N Allen , who completed a first floor flat in East Ham in July 1999. We are asked if we could estimate the price would be for a 90 year lease extension. Comparable flats in East Ham with 100 year plus lease were worth £206,200. The mid-range amount of ground rent was £55 billed yearly. The lease elapsed on 4 April 2082. Having 56 years unexpired we estimated the premium to the landlord for the lease extension to be between £31,400 and £36,200 plus legals.