Main reasons to start your Chadwell Heath lease extension

Main reasons to commence your Chadwell Heath lease extension today:

Increase your lease and increase your Chadwell Heath property value

The market value of a leasehold property in Chadwell Heath depends on how many years the lease has remaining. If it is near to or less than 80 years you should anticipate problems on re-sale, so it is advisable to arrange for a lease extension before buying. It is ideal to start the process of extending the lease is when a lease still has 82 years remaining so that all matters can be finalised well before the eighty year cut off point. Current legislation entitles Chadwell Heath qualifying lessees to obtain a new lease which will be for the current unexpired lease term plus an additional term of 90 years. The intention of the valuation is to arrive at an opinion of the sum payable by the lessee to the freeholder for the purchase of the lease extension.

An extended lease has roughly the same value as a freehold

It is conventional wisdom that a residential leasehold with more than 100 years unexpired lease term is worth approximately the equivalent as a freehold. Where an further 90 years added to any lease with more than 45 years unexpired, the premises will be worth the same as a freehold for decades to come.

Mortgage lenders may not grant a mortgage on a short lease

Lenders are really restricting their approach as regards to homes in Chadwell Heath with short leases. For instance you might discover that their lending criteria are stricter and that they alter interest rates depending on how many years are left on the lease. Some may even refuse to lend completely, so where you needed to sell, your remaining options would be to find a cash purchaser, or try your luck at auction thus reducing the number of prospective purchasers.

What makes us experts in Chadwell Heath lease extensions?

Engaging our service will provide you better control over the value of your Chadwell Heath leasehold, as your property will be more valuable and marketable in terms of lease length should you want to sell. The conveyancing solicitors that we work with have a wealth of experience of handling many hundreds of lease extensions or freehold purchase transactions.

Chadwell Heath Lease Extension Case Summaries:

Elijah, Chadwell Heath, Essex,

Elijah owned a high value apartment in Chadwell Heath being marketed with a lease of a little over 72 years left. Elijah informally approached his landlord a well known London-based freehold company for a lease extension. The freeholder indicated a willingness to grant an extension taking the lease to 125 years subject to a new rent initially set at £100 per annum and doubled every 25 years thereafter. Ordinarily, ground rent would not be due on a lease extension were Elijah to invoke his statutory right. Elijah procured expert advice and was able to make a more informed decision and deal with the matter and sell the flat.

Chadwell Heath case:

In 2009 we were contacted by Mr and Mrs. D Michel who, having took over the lease of a studio apartment in Chadwell Heath in March 2001. The dilemma was if we could approximate the compensation to the landlord would likely be for a ninety year lease extension. Identical flats in Chadwell Heath with an extended lease were in the region of £250,400. The average amount of ground rent was £65 invoiced yearly. The lease ran out on 1 November 2090. Considering the 64 years outstanding we calculated the premium to the landlord to extend the lease to be between £19,000 and £22,000 plus fees.