Main reasons to start your Gravesend lease extension

Why you should start your Gravesend lease extension today:

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

The value of Gravesend leasehold residential property falls as the lease term becomes shorter and this will have an impact on its saleability. The expense of extending the lease can increase substantially once the unexpired lease term is less than 80 years

Gravesend property with a lease extension is almost the same value as a freehold

Leasehold residencies in Gravesend with over one hundred years left on the lease are often regarded as a ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your property. In such circumstances there is often little upside in purchasing the freehold unless savings on ground rent and maintenance charges warrant it.

Lenders will not issue a mortgage on a short lease

Most mortgage companies will not grant a mortgage on a lease with under 70 years remaining - although this varies between mortgage companies. A buyer will likely encounter difficulties to obtain a mortgage and this could result in your Gravesend property becoming difficult to sell or remortgage.

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

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

Gravesend Lease Extension Example Cases:

Ethan, Gravesend, Kent

18 months ago Ethan, came seriously close to the 80-year mark with the lease on his first floor apartment in Gravesend. In buying his home twenty years previously, the lease term was of minimal importance. As luck would have it, he noticed he would imminently be paying an escalated premium for Extending the lease. Ethan arranged for a lease extension just under the wire last June. Ethan and the freeholder via the managing agents eventually settled on sum of £5,000 . If he had missed the deadline, the amount would have gone up by a minimum £950.

Gravesend case:

In 2009 we were e-mailed by Mr and Mrs. U Turner who, having completed a studio flat in Gravesend in November 2003. We are asked if we could shed any light on how much (roughly) premium would be for a ninety year extension to my lease. Comparative residencies in Gravesend with a long lease were valued about £256,600. The average ground rent payable was £60 invoiced every twelve months. The lease elapsed in 2078. Taking into account 52 years remaining we approximated the premium to the freeholder for the lease extension to be between £39,000 and £45,000 exclusive of professional charges.

Gravesend case:

Mr and Mrs. P Watson bought a studio apartment in Gravesend in November 2012. We are asked if we could shed any light on how much (roughly) price would be for a 90 year extension to my lease. Identical residencies in Gravesend with a long lease were in the region of £218,000. The mid-range ground rent payable was £45 billed every twelve months. The lease came to a finish in 2089. Given that there were 63 years unexpired we calculated the premium to the freeholder to extend the lease to be within £17,100 and £19,800 exclusive of fees.