Why you should commence your Elm Park lease extension

Why you should commence your Elm Park lease extension today:

Increase your lease and increase your Elm Park property value

The rule of thumb is, all other things holding equal, the shorter the lease the more expensive the premium. Qualifying leaseholders in Elm Park have the legal entitlement to extend the lease for a further 90 years in accordance with statute. Please think carefully before delaying your Elm Park lease extension. Putting off that expense now simply increases the price you will eventually be required to pay to extend the lease.

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

It is conventional wisdom that a residential leasehold with over one hundred years remaining is worth roughly the equivalent as a freehold. Where an further ninety years added to any lease with more than 30 years unexpired, the premises will be equivalent in value to a freehold for many years ahead.

Lenders will not finance a property with a short lease

Banks and Building Societies have specific criteria when loaning monies secured on leasehold homes. Many will simply refrain from lending at all once an unexpired lease term falls beneath a certain unexpired lease term. Many Mortgage lenders will not consider property with an unexpired term of less than seventy years as adequate security. In addition to this being important when selling, it is also relevant where you are seeking to refinance your Elm Park property.

Get in touch with one of our Elm Park lease extension solicitors or enfranchisement solicitors

Using our service gives you increased control over the value of your Elm Park leasehold, as your property will be more valuable and marketable in terms of lease length should you want to sell. The conveyancers that we work with are well versed in the legislation handling many hundreds of lease extensions or freehold purchase transactions.

Elm Park Lease Extension Example Cases:

Kai, Elm Park, London,

Kai owned a studio flat in Elm Park on the market with a lease of a few days over sixty years outstanding. Kai informally approached his landlord being a well known Bristol-based freehold company and enquired on a premium to extend the lease. The landlord indicated a willingness to extend the lease to 125 years subject to a rise in the rent to £125 per annum. No ground rent would be due on a lease extension were Kai to invoke his statutory right. Kai obtained expert advice and secured an acceptable resolution without resorting to tribunal and ending up with a market value flat.

Elm Park case:

In 2012 we were phoned by Dr Omar Pérez who, having was assigned a lease of a one bedroom flat in Elm Park in April 2000. We are asked if we could approximate the compensation to the landlord would be to prolong the lease by a further 90 years. Identical flats in Elm Park with 100 year plus lease were worth £166,400. The mid-range amount of ground rent was £60 collected yearly. The lease elapsed in 2079. Having 54 years left we estimated the premium to the freeholder to extend the lease to be between £32,300 and £37,400 not including professional charges.