Main reasons to start your Oval lease extension

Main reasons to commence your Oval lease extension today:

Increase your lease and increase your Oval property value

With a domestic leasehold premises in Oval, you are in fact renting it for a certain amount of time. In recent years flat leases are usually granted for 99 years or 125. Even though this may appear like a lengthy period of time, you should think about extending the lease sooner rather than later. The general rule is that the shorter the lease is the cost of extending the lease increases markedly particularly once there are fewer than 80 years left. Anyone in Oval with a lease drawing near to 81 years unexpired should seriously think of extending it without delay. Once a lease has less than eighty years remaining, under the relevant statute the freeholder can calculate and levy a larger amount, based on a technical multiplication, strangely termed as “marriage value” which is due.

An extended lease is almost the same value as a freehold

It is conventional wisdom that a property with over 100 years unexpired lease term is worth roughly the equivalent as a freehold. Where an additional ninety years added to all but the shortest lease, the premises will be worth the same as a freehold for many years in the future.

Banks and Building Societies will not issue a mortgage with a short lease

Lending institutions have specific criteria when loaning monies charged on leasehold property. Many will simply not lend at all once the residual lease term falls beneath a certain unexpired lease term. Many Mortgage lenders will not consider property with a remaining term of less than 75 years as acceptable security. In addition to this being important when selling, it is also relevant if you are intending to refinance your Oval home.

What makes us experts in Oval lease extensions?

Regardless of whether you are a tenant or a landlord in Oval,the lease extension experts 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 Oval valuers.

Oval Lease Extension Example Cases:

Abigail, Oval, South London,

Following lengthy negotiations with the freeholder of her leasehold flat in Oval, Abigail started the lease extension process just as her lease was coming close to the crucial 80-year deadline. The transaction was finalised in February 2014. The freeholder’s fees were kept to an absolute minimum.

Oval case:

Dr S Martinez took over the lease of a one bedroom apartment in Oval in July 2012. The question was if we could shed any light on how much (approximately) price would be for a 90 year extension to my lease. Identical residencies in Oval with a long lease were worth £285,000. The mid-range ground rent payable was £45 billed annually. The lease ended on 13 April 2097. Taking into account 71 years as a residual term we estimated the compensation to the landlord to extend the lease to be between £12,400 and £14,200 exclusive of fees.