Why you should commence your Shepperton lease extension

Why you should commence your Shepperton lease extension today:

A Shepperton leasehold property depreciates with the years remaining on the lease.

The closer a residential lease in Shepperton nears to zero years unexpired, the the greater the reduction in the value of the property. Where the lease has, more than one hundred years remaining then this decrease may be of little impact that being said there will become a point in time when a lease has fewer than 80 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 primary rational as to why you should consider extending sooner than later. Many flat owners in Shepperton will qualify for this right; that being said a conveyancing solicitor can confirm if you are eligible to extend your lease. 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.

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

It is conventional wisdom that a residential leasehold with in excess of 100 years remaining is worth approximately the equivalent as a freehold. Where an additional ninety years added to all but the shortest lease, the premises will be equivalent in value to a freehold for many years ahead.

Banks and Building Societies may decide not to lend with a short lease

Banks and building societies will not lend on short residential leases. You most probably experience problems where you need to sell your flat in Shepperton if the remaining lease term is below the criteria set by the majority of lenders. Different lenders have varying criteria but on the whole they are looking for an unexpired term of at least seventy years.

What makes us experts in Shepperton lease extensions?

Retaining our service gives you enhanced control over the value of your Shepperton leasehold, as your property will be more valuable and saleable in terms of lease length should you decide to sell. The conveyancers that we work with have a wealth of experience of handling many hundreds of lease extensions or freehold purchase transactions.

Shepperton Lease Extension Case Studies:

Ibrahim, Shepperton, Surrey,

Ibrahim owned a high value flat in Shepperton on the market with a lease of a few days over 72 years unexpired. Ibrahim on an informal basis contacted his landlord being a well known Manchester-based freehold company for a lease extension. The freeholder indicated a willingness to grant an extension taking the lease to 125 years on the basis of a new rent at the outset set at £150 per annum and increase every twenty five years thereafter. No ground rent would be payable on a lease extension were Ibrahim to exercise his statutory right. Ibrahim obtained expert legal guidance and was able to make a more informed judgement and deal with the matter and readily saleable.

Shepperton case:

In 2011 we were called by Dr O Peterson who, having owned a first floor flat in Shepperton in June 1996. We are asked if we could estimate the compensation to the landlord would likely be for a 90 year lease extension. Comparative residencies in Shepperton with an extended lease were in the region of £270,000. The average ground rent payable was £55 invoiced yearly. The lease expired in 2101. Considering the 75 years unexpired we estimated the premium to the landlord for the lease extension to be within £9,500 and £11,000 plus fees.