Why you should commence your Petts Wood lease extension

Top reasons for lease extension now:

Increase your lease and increase your Petts Wood property value

Petts Wood leases on residential properties are gradually losing value. The shorter the remaining lease term becomes, the less it is worth – and accordingly any extension of your lease becomes more expensive. The majority of owners of residential leasehold property in Petts Wood enjoy rights under legislation to extend the terms of their leases. Where you are a leasehold owner in Petts Wood you really ought to check if your lease has between 70 and 90 years remaining. There are good reasons why a Petts Wood leaseholder with a lease having around eighty years remaining should take steps to ensure that a lease extension is actioned without delay

Petts Wood property with a lease extension 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 equivalent as a freehold. Where an further 90 years added to any lease with more than 45 years unexpired, the residence will be equivalent in value to a freehold for decades to come.

Lending institutions may decide not to lend with a short lease

Mortgage companies are really restricting their approach as regards to homes in Petts Wood with short leases. For example you may find that their lending requirements are stricter and that they alter interest rates depending on the unexpired lease term. Some may even refuse to lend completely, so if you needed to sell, your only options would be to find a cash buyer, or hope for the best at auction thus limiting your market.

Get in touch with one of our Petts Wood lease extension solicitors or enfranchisement solicitors

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

Petts Wood Lease Extension Example Cases:

Logan, Petts Wood, Kent

In 2014 Logan, came critically close to the 80-year threshold with the lease on his studio flat in Petts Wood. In buying his property 18 years ago, the unexpired term was of little concern. As luck would have it, he recognised he would imminently be paying way over the odds for a lease extension. Logan was able to extend his lease just in the nick of time in September. Logan and the landlord ultimately agreed on an amount of £5,000 . If the lease had gone below eighty years, the sum would have increased by at least £875.

Petts Wood case:

Mr Aarav Lewis owned a one bedroom flat in Petts Wood in March 2000. We are asked if we could estimate the premium would be for a ninety year lease extension. Comparable premises in Petts Wood with a long lease were in the region of £206,200. The mid-range amount of ground rent was £60 collected annually. The lease came to a finish on 22 May 2082. Having 56 years outstanding we approximated the premium to the landlord to extend the lease to be within £32,300 and £37,400 exclusive of costs.