Main reasons to commence your Petersham lease extension

Main reasons to commence your Petersham lease extension today:

Increase your lease and increase your Petersham property value

Petersham leases on residential properties are gradually losing value. The shorter the remaining lease term becomes, the less it is worth – and accordingly any extension of the lease gets more expensive. Most owners of residential leasehold property in Petersham enjoy rights under legislation to extend the terms of their leases. Where you are a leasehold owner in Petersham you should see if your lease has between seventy and ninety years remaining. In particular once the remaining lease term slips under 80 years, the compensation to the landlord for any lease extension increases dramatically as an element of the premium you pay is what is known as a marriage value

An extended lease has roughly the same value as a freehold

It is conventional wisdom that a residential leasehold with over 100 years unexpired lease term is worth approximately the equivalent as a freehold. Where an further ninety years added to all but the shortest lease, the premises will be worth the same as a freehold for decades to come.

Lending institutions may decide not to lend on a short lease

Many banks and building societies insist on a lengthy amount of time left on any leasehold property before they will consider it as adequate security. Regardless of whether you require a mortgage, you should keep in mind that it is likely that someone wanting to buy your property in the future might well do, so in the event that they are unable to obtain a mortgage, then the financial worth of your property could be adversely impacted. In the last decade many mortgage lenders have increased the required minimum lease length that they are prepared to accept

What makes us experts in Petersham lease extensions?

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

Petersham Lease Extension Example Cases:

Lucas, Petersham, South West London,

Lucas owned a conversion flat in Petersham being marketed with a lease of a few days over sixty years left. Lucas informally approached his landlord a well known local-based freehold company and enquired on a premium to extend the lease. The landlord was keen to grant an extension on non-statutory terms taking the lease to 125 years on the basis of a rise in the rent to £100 yearly. No ground rent would be payable on a lease extension were Lucas to invoke his statutory right. Lucas obtained expert advice and secured an acceptable resolution informally and sell the flat.

Petersham case:

Last Summer we were approach by Mrs M Robinson , who purchased a studio apartment in Petersham in October 2007. The question was if we could shed any light on how much (roughly) price would likely be for a 90 year extension to my lease. Comparable flats in Petersham with a long lease were worth £257,800. The mid-range ground rent payable was £65 billed yearly. The lease expiry date was in 2091. Considering the 65 years as a residual term we estimated the premium to the freeholder for the lease extension to be within £18,100 and £20,800 not including costs.