Top reasons for Penge lease extension

Main reasons to start your Penge lease extension today:

Increase your lease and increase your Penge property value

As the length of the unexpired term of a Penge domestic lease diminished so does its value and therefore the value of your property. If the lease has, beyond one hundred years remaining then this decrease may be of little impact however there will become a point in time when a lease has less than eighty years remaining as part of the premium you will incur is what is known as a marriage value. This could be significant. It is the main rational as to why you should consider extending without delay. Many flat owners in Penge will meet the qualifying criteria; that being said a conveyancing solicitor can advise whether you qualify for a lease extension. In limited situations you may not qualify, the most frequent reason being that you have not been the owner of the property for two years.

Penge property with a lease extension has roughly the same value as a freehold

It is generally accepted that a property with over one hundred years remaining is worth roughly the equivalent as a freehold. Where an additional 90 years added to all but the shortest lease, the premises will be worth the same as a freehold for decades to come.

Lending institutions will not finance a property on a short lease

Lenders are tightening their criteria and many now require flats to have at least sixty if not seventy years left at the end of the mortgage. Given that a number of flats in Penge were built in the 1950s, 1960s and 1970s as a result many now need to be extended if they if they are to be mortgageable.

Why use us for your lease extension in Penge?

The conveyancers that we work with procure Penge 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 lawyer we work with provide it.

Penge Lease Extension Example Cases:

Emma, Penge, South East London,

After unsuccessful negotiations with the freeholder of her purpose-built apartment in Penge, Emma commenced the lease extension process just as her lease was coming close to the all-important eighty-year threshold. The lease extension was concluded in July 2011. The freeholder’s fees were kept to an absolute minimum.

Penge case:

Last Christmas we were e-mailed by Mrs Sarah Ali , who acquired a basement flat in Penge in October 2005. We are asked if we could estimate the premium would likely be to prolong the lease by ninety years. Identical properties in Penge with an extended lease were in the region of £275,000. The mid-range amount of ground rent was £65 collected every twelve months. The lease ended on 1 February 2094. Given that there were 68 years as a residual term we estimated the premium to the landlord for the lease extension to be between £12,400 and £14,200 plus legals.