Top reasons for Penge lease extension

Why you should commence your Penge lease extension today:

Increase your lease and increase your Penge property value

Chances are that if you own a flat in Penge you actually own a long leasehold interest over your property

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

It is conventional wisdom that a residential leasehold with more than 100 years remaining is worth approximately the equivalent as a freehold. Where an additional 90 years added to any lease with more than 30 years remaining, the premises will be equivalent in value to a freehold for decades to come.

Lenders may not loan monies with a short lease

Many mortgage companies require a lengthy amount of time left on a leasehold residence before they will contemplate providing a mortgage on it. Even if you don't require a mortgage, you should bear in mind that it is probable that someone wishing to acquire your property in the future might well do, so if they can't get a mortgage, then the value of the property will likely suffer. In the last decade the majority of mortgage lenders have increased the required minimum lease length that they are prepared to grant a mortgage on

Get in touch with one of our Penge lease extension solicitors or enfranchisement solicitors

Regardless of whether you are a tenant or a landlord in Penge,the lease extension lawyers that we work with will always be prepared to discuss any residential leasehold matters and offer you the benefit of their in-depth market knowledge and the close ties they enjoy with Penge valuers.

Penge Lease Extension Case Summaries:

Luca, Penge, South East London,

Luca owned a high value apartment in Penge being marketed with a lease of a little over 72 years unexpired. Luca on an informal basis approached his freeholder being a well known local-based freehold company and enquired on a premium to extend the lease. The landlord was prepared to agree an extension on non-statutory terms taking the lease to 125 years on the basis of a new rent at the outset set at £100 per annum and doubled every twenty five years thereafter. No ground rent would be due on a lease extension were Luca to exercise his statutory right. Luca obtained expert legal guidance and secured satisfactory deal without going to tribunal and ending up with a market value flat.

Penge case:

In 2012 we were called by Mr and Mrs. O Dupont who, having acquired a basement apartment in Penge in April 2011. The question was if we could shed any light on how much (approximately) premium would likely be for a 90 year extension to my lease. Comparable residencies in Penge with a long lease were in the region of £210,000. The mid-range amount of ground rent was £50 collected yearly. The lease ended in 2106. Having 80 years as a residual term we approximated the premium to the freeholder to extend the lease to be within £8,600 and £9,800 not including fees.