Main reasons to start your Greenhithe lease extension

Top reasons for lease extension now:

Increase your lease and increase your Greenhithe property value

When it comes to long leasehold property in Greenhithe, you effectively rent it for a certain amount of time. Modern flat leases are usually granted for 99 years or 125. Many leasehold owners become complacent as this seems like a lengthy period of time, you should consider extending the lease sooner rather than later. Accepted thinking is that the shorter the number of years is the cost of extending the lease becomes disproportionately greater particularly when there are less than eighty years left. Leasehold owners in Greenhithe with a lease approaching 81 years unexpired should seriously think of extending it without delay. Once the lease term has under 80 years remaining, under the relevant legislation the freeholder is entitled to calculate and charge a larger premium, assessed on a technical calculation, known as “marriage value” which is due.

An extended lease has roughly the same value as a freehold

Leasehold properties in Greenhithe with more than one hundred years left on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your premises. In such circumstances 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 lend with a short lease

Almost all mortgage lenders require a lengthy amount of time remaining on any leasehold residence before they will contemplate providing a mortgage on it. Regardless of whether you need a mortgage, you should be conscious that it is likely that someone wanting to purchase your property in the future might well do, so in the event that they can't obtain a mortgage, then the market price of your property will likely suffer. Since 2008 most mortgage lenders have increased the required minimum lease length that they are willing to lend on

What makes us experts in Greenhithe lease extensions?

The lawyers that we work with procure Greenhithe 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.

Greenhithe Lease Extension Example Cases:

Gabriel, Greenhithe, Kent,

Gabriel was the the leasehold proprietor of a 2 bedroom apartment in Greenhithe being marketed with a lease of just over 59 years left. Gabriel on an informal basis approached his freeholder a well known Manchester-based freehold company and enquired on a premium to extend the lease. The landlord indicated a willingness to grant an extension taking the lease to 125 years on the basis of an increased rent to £125 per annum. Ordinarily, ground rent would not be due on a lease extension were Gabriel to invoke his statutory right. Gabriel procured expert legal guidance and was able to make an informed judgement and handle with the matter and readily saleable.

Greenhithe case:

Mr and Mrs. T André purchased a newly refurbished flat in Greenhithe in November 2000. We are asked if we could estimate the compensation to the landlord would likely be to prolong the lease by 90 years. Identical properties in Greenhithe with a long lease were valued around £280,000. The average amount of ground rent was £45 collected yearly. The lease ended in 2095. Considering the 69 years outstanding we calculated the premium to the freeholder to extend the lease to be within £12,400 and £14,200 exclusive of costs.