Why you should start your Purley lease extension

Top reasons for lease extension now:

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

Purley leases on residential properties are gradually losing value. Where your lease has in the region of 90 years remaining, you should start thinking about a lease extension. If lease term is under eighty years, you will then be required to pay half of the property's 'marriage value' in addition to the usual cost of the lease extension to your landlord. Marriage value is the amount of additional value that a lease extension will add to the property. Leasehold owners in Purley will usually qualify for a lease extension; however it’s a good idea to check with a conveyancing solicitor to check your eligibility. In some situations you may not qualify. There are prescribed deadlines and steps to follow once the process has commenced so it’s sensible to be guided by a conveyancing solicitor during the process.

Purley property with a lease extension has roughly the same value as a freehold

It is generally considered that a property with more than 100 years remaining is worth approximately the same as a freehold. Where an further ninety years added to all but the shortest lease, the property will be worth the same as a freehold for many years in the future.

Mortgage lenders will not loan monies on a short lease

The propensity since over the last decade has been for mortgage companies to tighten lending criteria across the board - this has extended to the types of security over which the mortgage is to be charged. This has meant the minimum number of years remaining under the lease required by banks has increased. In the past banks would grant a mortgage on a lease with 25 years plus the term of the loan - routinely fifty year leases but those requirements are being increasingly undermined by the requirement for longer and longer leases - many now have a minimum term of 75 years as standard.

Why use us for your lease extension in Purley?

Lease extensions in Purley can be a difficult process. We recommend you procure guidance from a conveyancer and valuer well versed in the legislation and lease extension process.

We provide you with an expert from a selection of lease extension solicitors, which ensures a targeted and efficient service as you have a dedicated port of call with an individual lawyer. Our lease extension solicitors have in-depth market knowledge procuring Purley lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.

Purley Lease Extension Case Summaries:

Sophie, Purley, South London,

Subsequent to protracted correspondence with the landlord of her studio apartment in Purley, Sophie commenced the lease extension process as the eighty year mark was fast nearing. The lease extension completed in June 2013. The freeholder’s charges were kept to an absolute minimum.

Purley case:

In 2010 we were contacted by Mr and Mrs. C Girard who, having acquired a basement apartment in Purley in March 1997. The question was if we could shed any light on how much (roughly) price would likely be to prolong the lease by a further 90 years. Similar residencies in Purley with an extended lease were in the region of £193,400. The average ground rent payable was £65 invoiced annually. The lease came to a finish in 2085. Having 59 years left we calculated the compensation to the landlord for the lease extension to be between £21,900 and £25,200 not including costs.