Why you should start your Plumstead lease extension

Why you should start your Plumstead lease extension today:

A Plumstead lease depreciates with the years remaining on the lease.

As the the remaining lease term of a Plumstead residential lease lessens so does its value and therefore the value of your property. Where the lease has, beyond 125 years to run then this decrease may be of little impact nevertheless there will become a stage when a lease has less than 80 years unexpired as part of the premium you will incur is what is known as a marriage value. This could be significant. It is the main reason why you should consider extending without delay. Many flat owners in Plumstead will meet the qualifying criteria; however a conveyancing solicitor can confirm if you qualify for a lease extension. In certain situations you may not qualify, the most common reason being that you have not been the owner of the property for two years.

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

It is generally considered that a residential leasehold with over one hundred years unexpired lease term is worth approximately the same as a freehold. Where an additional ninety years added to any lease with more than 30 years unexpired, the residence will be equivalent in value to a freehold for many years ahead.

Lending institutions may decide not to lend on a short lease

Lenders are tightening their criteria and many now want flats to have a minimum of 60 if not 70 years remaining at the end of the mortgage. Given that a number of flats in Plumstead were created in the 1950s, 1960s and 1970s this means many now need to be extended if they if they are to be mortgageable.

Why use us for your lease extension in Plumstead?

Engaging our service will provide you better control over the value of your Plumstead leasehold, as your property will be more valuable and saleable in relation to the lease length should you want to sell. The conveyancing solicitors that we work with are well versed in the legislation handling many hundreds of lease extensions or freehold purchase transactions.

Plumstead Lease Extension Case Studies:

Michael, Plumstead, South East London

Last October Michael, came precariously close to the 80-year mark with the lease on his leasehold apartment in Plumstead. In buying his home two decades ago, the lease term was of minimal concern. Fortunately, he realised he needed to take steps soon on Extending the lease. Michael arranged for a lease extension just ahead of time last July. Michael and the landlord who owned the flat above eventually settled on an amount of £6,000 . If the lease had descended below eighty years, the figure would have become more exhorbitant by a minimum £1,125.

Plumstead case:

Mr Isaac Roberts took over the lease of a newly refurbished flat in Plumstead in August 2005. We are asked if we could estimate the price could be for a ninety year extension to my lease. Similar flats in Plumstead with 100 year plus lease were worth £254,200. The average ground rent payable was £60 billed every twelve months. The lease ended on 18 February 2077. Having 51 years unexpired we estimated the premium to the freeholder to extend the lease to be within £43,700 and £50,600 not including expenses.