Why you should commence your Kentish Town lease extension

Why you should start your Kentish Town lease extension today:

Increase your lease and increase your Kentish Town property value

As the length of the unexpired term of a Kentish Town residential lease diminished so does its value and therefore the value of your property. If the lease has, in excess of 99 years remaining then this decrease may be of little impact nevertheless there will become a stage when a lease has less than 80 years left as part of the premium you will incur is what is known as a marriage value. This could be significant. It is the primary logic behind why you should extend the lease without delay. Most flat owners in Kentish Town will meet the qualifying criteria; that being said a lawyer can confirm if you qualify to extend your lease. In certain situations you may not qualify, the most frequent reason being that you have owned the property for under two years.

Kentish Town property with a lease extension is almost the same value as a freehold

Leasehold properties in Kentish Town with more than 100 years unexpired on the lease are often regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your property. In such situations there is often little upside in buying the freehold unless savings on ground rent and maintenance charges warrant it.

Lending institutions may not grant a mortgage with a short lease

Many mortgage companies will be unwilling to grant a mortgage on a lease with less than seventy years left to run - although this varies from lender to lender. A purchaser will no doubt find it difficult in obtaining a mortgage and this could result in your Kentish Town property being difficult to dispose of or remortgage.

What makes us experts in Kentish Town lease extensions?

The lawyers that we work with procure Kentish Town 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.

Kentish Town Lease Extension Example Cases:

Ella, Kentish Town, North London,

Subsequent to protracted discussions with the landlord of her garden flat in Kentish Town, Ella started the lease extension process just as the lease was approaching the critical eighty-year deadline. The legal work was finalised in November 2012. The freeholder’s costs were kept to an absolute minimum.

Kentish Town case:

Mr Aiden Bertrand acquired a studio apartment in Kentish Town in January 1999. We are asked if we could estimate the premium would likely be to prolong the lease by ninety years. Similar premises in Kentish Town with a long lease were in the region of £250,000. The average amount of ground rent was £50 invoiced every twelve months. The lease lapsed in 2095. Having 69 years outstanding we estimated the compensation to the freeholder for the lease extension to be within £9,500 and £11,000 exclusive of costs.