Why you should start your Dagenham lease extension

Top reasons for lease extension now:

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

Dagenham leases on residential properties are gradually losing value. The shorter the remaining lease term becomes, the less it is worth – and as a result any extension of the lease becomes more expensive. Most owners of residential leasehold property in Dagenham enjoy rights under legislation to extend the terms of their leases. Where you are a leasehold owner in Dagenham you would be well advised to see if your lease has between seventy and 90 years left. There are good reasons why a Dagenham flat owner with a lease having around eighty years remaining should take steps to ensure that a lease extension is put in place without delay

Dagenham 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 unexpired lease term is worth roughly the equivalent as a freehold. Where an further ninety years added to all but the shortest lease, the property will be equivalent in value to a freehold for many years in the future.

Mortgage lenders may decide not to grant a mortgage with a short lease

Lending institutions have set criteria when lending monies charged on leasehold property. Some will simply refuse lend at all once the residual lease term goes below a specified unexpired lease term. Many Banks and Building Societies will not consider property with an unexpired term of less than 75 years as adequate security. As well as impacting your ability to sell, it is also relevant where you are intending to remortgage your Dagenham property.

Why use us for your lease extension in Dagenham?

The conveyancers that we work with handle Dagenham lease extensions and help protect your position. A lease extension can be arranged to be completed to coincide with a change of ownership so the costs of the lease extension are paid for using part of the sale proceeds. You really do need expert legal advice in this difficult and technical area of law. The conveyancing solicitor we work with provide it.

Dagenham Lease Extension Case Studies:

Aarav, Dagenham, London

In recent months Aarav, came precariously close to the eighty-year mark with the lease on his one bedroom apartment in Dagenham. Having bought his property two decades ago, the length of the lease was of little concern. by good luck, he recognised he needed to take action soon on Extending the lease. Aarav arranged for a lease extension at the eleventh hour last July. Aarav and the freeholder in the end settled on a premium of £5,500 . If he had missed the deadline, the sum would have become more exhorbitant by at least £875.

Dagenham case:

Last Winter we were called by Dr V Lambert , who owned a ground floor flat in Dagenham in January 1996. We are asked if we could shed any light on how much (roughly) price could be to prolong the lease by an additional years. Comparable homes in Dagenham with a long lease were in the region of £290,000. The mid-range ground rent payable was £45 invoiced quarterly. The lease ran out on 28 February 2099. Having 73 years as a residual term we estimated the premium to the landlord to extend the lease to be between £9,500 and £11,000 plus professional charges.