Top reasons for Havering lease extension

Main reasons to commence your Havering lease extension today:

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

With a domestic leasehold premises in Havering, you are actually buying a right to live in a property for a set period of time. These days flat leases typically tend to be for 99 years or 125. Even though this may appear like a long period of time, you should think about a lease extension sooner rather than later. Accepted thinking is that the shorter the number of years is the cost of extending the lease gets disproportionately more expensive notably once there are less than 80 years remaining. Residents in Havering with a lease approaching 81 years unexpired should seriously consider extending it as soon as possible. Once the lease term has under eighty years remaining, under the relevant legislation the landlord is entitled to calculate and levy a greater premium, based on a technical calculation, known as “marriage value” which is due.

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

Leasehold properties in Havering with over 100 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 home. In such situations there is often little upside in buying the freehold unless savings on ground rent and service charges warrant it.

Mortgage lenders may not loan monies on a short lease

Most mortgage companies require a lengthy amount of time remaining on a leasehold property before they will contemplate it as adequate security. Even if you don't need a mortgage, you should be mindful that it is probable that someone wishing to buy your property in the future might well do, so where they are not able to obtain a mortgage, then the market price of the property will likely suffer. Since 2008 the majority of mortgage lenders have increased the required minimum lease length that they are prepared to accept

Why use us for your lease extension in Havering?

Retaining our service gives you better control over the value of your Havering leasehold, as your property will be more valuable and saleable in terms of 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.

Havering Lease Extension Example Cases:

Hugo, Havering, London,

Hugo was the the leasehold owner of a conversion flat in Havering being sold with a lease of a little over 61 years left. Hugo on an informal basis contacted his freeholder a well known Bristol-based freehold company for a lease extension. The freeholder was prepared to agree an extension on non-statutory terms taking the lease to 125 years subject to a new rent to start with set at £100 per annum and doubled every twenty five years thereafter. Ordinarily, ground rent would not be due on a lease extension were Hugo to exercise his statutory right. Hugo procured expert legal guidance and secured an acceptable resolution without resorting to tribunal and sell the flat.

Havering case:

Mr and Mrs. R Petit completed a purpose-built apartment in Havering in November 2010. The dilemma was if we could shed any light on how much (roughly) premium would likely be to prolong the lease by ninety years. Similar properties in Havering with a long lease were in the region of £275,000. The average ground rent payable was £65 invoiced monthly. The lease lapsed on 2 November 2094. Having 68 years as a residual term we calculated the compensation to the landlord to extend the lease to be between £13,300 and £15,400 not including fees.