Main reasons to commence your Putney lease extension

Top reasons for lease extension now:

Increase your lease and increase your Putney property value

The market value of Putney leasehold residential property falls as the lease term becomes shorter and this will have an impact on its saleability. The cost of a lease extension can escalate significantly once the unexpired lease term is below than 80 years

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

Leasehold residencies in Putney with in excess of one hundred years outstanding on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your property. In such situations there is often little upside in buying the reversionary interest unless savings on ground rent and service charges merit it.

Mortgage lenders will not lend on a short lease

The trend since 2008 has been for lenders to tighten lending criteria generally - this has extended to the types of security over which the mortgage is to be granted. This has meant the minimum number of years remaining under the lease required by mortgage companies has increased. In the past banks were content with twenty years plus the term of the loan - typically fifty year leases but those requirements are being increasingly undermined by the requirement for lengthy leases - many use a minimum term of 75 years as a prerequisite.

Why use us for your lease extension in Putney?

Retaining our service gives you enhanced control over the value of your Putney leasehold, as your property will be more valuable and saleable in relation to the lease length should you decide to sell. The lawyers that we work with have a in-depth market knowledge handling many hundreds of lease extensions or freehold purchase transactions.

Putney Lease Extension Example Cases:

Tia, Putney, South West London,

In the wake of eight months of protracted negotiations with the freeholder of her basement flat in Putney, Tia started the lease extension process just as the lease was coming close to the all-important 80-year mark. The lease extension was concluded in November 2014. The landlord’s costs were restricted to slightly above 600 pounds.

Putney case:

In 2010 we were contacted by Mr and Mrs. T Pérez who, having bought a ground floor flat in Putney in March 2007. The question was if we could shed any light on how much (roughly) compensation to the landlord would likely be to extend the lease by an additional years. Comparable premises in Putney with an extended lease were valued around £257,800. The average ground rent payable was £65 collected per annum. The lease lapsed on 7 January 2091. Having 65 years left we estimated the compensation to the freeholder for the lease extension to be between £18,100 and £20,800 plus costs.