Short Leasehold Property For Sale in London
Short leaseholds are a major problem if you want to sell your house – especially in London where the cost to extend a leasehold can be very prohibitive. Short leaseholds start to affect the selling price of the property at about 80 years. The fewer years there are left on a leasehold, the more affect it will have a property sale price.
In fact, according to the Financial Times, a great way to find bargain properties in London is to look for short leasehold properties (https://www.ft.com/content/a294c7f6-af84-11e3-a006-00144feab7de) because they sell at a fraction of the market value.
What’s great for a person buying a short leasehold house in London isn’t going to be very good for a person selling a short leasehold house in London – especially as the number of people with the funds to extend the leasehold after the sale drastically affects the competition required to reach 100% of a property’s market value.
Because owners of apartment leases that were originally at least 21 years in length can only apply for a 90-year extension after two years’ ownership and the delay and/or uncertainty a new buyer will experience will further affect the selling price of the property, the best option to to sell a London property with a short leasehold is to extend the lease before the sale.
Unfortunately, it can be a very complicated business and when the funds to extend a lease are tied into the property being sold, a lot of buyers have no option than to sell their property at a fraction of the market value to a small fraction of the market.
National Residential specialise in selling London properties with short leaseholds. We have an in-house team of conveyancers and solicitors who can inform you of the best options available to sell the property for the best price and/or least loss.
Our ‘FixedPrice+’ house sales model includes the option of a cash advance that we can use to extend your short term lease so that it can be advertised with a long leasehold. And if that’s not already a fantastic solution, with the agreement in place before the sale begins, as soon as we have a offer at the fixed price from a confirmed buyer, we can complete almost instantly.
Alternatively, if you want a REALLY FAST way to sell your London property with a short leasehold, you might be interested in what our 7 Day Cash Purchase Fund can do for you.
Or, if you want to see just how fast we can complete, take a look at this story…. National Residential Completes a Property Sale on A Short Leasehold London Property in 3 Days
For more information on leaseholds see The Which Report @ http://www.which.co.uk/money/mortgages-and-property/first-time-buyers/guides/buying-a-home/leasehold-vs-freehold