Main reasons to commence your New Eltham lease extension

Why you should commence your New Eltham lease extension today:

Increase your lease and increase your New Eltham property value

On the balance of probabilities where you own a flat in New Eltham you actually own a long leasehold interest over your property

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

Leasehold premises in New Eltham with more than one hundred years outstanding on the lease are often regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your home. In such situations there is often little to be gained by buying the reversionary interest unless savings on ground rent and estate charges warrant it.

Mortgage lenders may not grant a mortgage on a short lease

Whether or not the lease is be regarded as a short lease depends on the specific mortgage company, yet banks and building societies start to become concerned at around 75 years. This may cause difficulties as and when you come to dispose of or refinance your property as it will be effectively unmortgageable. You may not have an imminent plan to sell but when you do your purchaser must hold off for 2 years before being able to exercise the right to a an extension to the lease.

What makes us experts in New Eltham lease extensions?

Irrespective of whether you are a tenant or a freeholder in New Eltham,the lease extension lawyers that we work with will always be willing to discuss any residential leasehold matters and offer you the benefit of their experience and the close ties they enjoy with New Eltham valuers.

New Eltham Lease Extension Case Summaries:

Jason, New Eltham, South East London

Last October Jason, came very close to the eighty-year mark with the lease on his basement apartment in New Eltham. In buying his property two decades ago, the lease term was of minimal bearing. Luckily, it dawned on him that he needed to take steps soon on a lease extension. Jason was able to extend his lease at the eleventh hour last September. Jason and the landlord subsequently agreed on sum of £6,000 . If he had missed the deadline, the amount would have become more costly by at least £1,075.

New Eltham case:

In 2014 we were approached by Dr Jordan Martínez who, having moved into a studio flat in New Eltham in February 2011. The question was if we could shed any light on how much (approximately) premium could be for a 90 year lease extension. Similar flats in New Eltham with an extended lease were worth £248,000. The mid-range ground rent payable was £65 invoiced monthly. The lease came to a finish on 1 February 2089. Taking into account 63 years as a residual term we estimated the compensation to the landlord for the lease extension to be within £20,000 and £23,000 exclusive of expenses.