Why you should commence your South Norwood lease extension

Main reasons to commence your South Norwood lease extension today:

Increase your lease and increase your South Norwood property value

There is no doubt about it a leasehold property in South Norwood is a wasting asset as a result of the shortening lease. Where the residual term has, beyond 100 years to run then this decrease may be fractional however there will become a point in time when a lease has under 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 logic behind why you should extend the lease without delay. Many flat owners in South Norwood will qualify for this right; nevertheless a lawyer can advise if you qualify to extend your lease. In limited situations you may not qualify, the most common reason being that you have owned the property for less than two years.

An extended lease is almost the same value as a freehold

It is generally accepted that a residential leasehold with over 100 years remaining is worth roughly the same as a freehold. Where an further 90 years added to any lease with more than 45 years left, the premises will be worth the same as a freehold for many years in the future.

Lending institutions may decide not to finance a property with a short lease

Most banks and building societies will be unwilling to grant a mortgage on a lease with under seventy years left to run - although this varies between mortgage companies. A buyer will likely find it difficult in obtaining a mortgage and this could result in your South Norwood property being difficult to dispose of or to obtain finance on.

What makes us experts in South Norwood lease extensions?

Using our service gives you enhanced control over the value of your South Norwood leasehold, as your property will be more valuable and saleable in terms of lease length should you wish 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.

South Norwood Lease Extension Example Cases:

Danielle, South Norwood, South London,

After lengthy discussions with the freeholder of her leasehold apartment in South Norwood, Danielle commenced the lease extension process just as the lease was coming close to the critical eighty-year mark. The transaction was finalised in October 2006. The landlord’s fees were negotiated to about 500 GBP.

South Norwood case:

Last April we were contacted by Mrs W Mitchell , who took over the lease of a first floor apartment in South Norwood in March 2008. The question was if we could approximate the compensation to the landlord could be for a 90 year lease extension. Comparable residencies in South Norwood with 100 year plus lease were valued about £285,000. The average amount of ground rent was £55 collected per annum. The lease elapsed on 27 June 2106. Having 80 years as a residual term we approximated the premium to the landlord for the lease extension to be within £12,400 and £14,200 exclusive of costs.