Main reasons to commence your Pentonville lease extension

Why you should commence your Pentonville lease extension today:

Increase your lease and increase your Pentonville property value

As the the remaining lease term of a Pentonville domestic lease diminished so does its value and therefore the value of your property. If the residual term has, over 99 years to run then this decrease may be negligible nevertheless there will become a point in time when a lease has fewer than eighty years remaining as part of the premium you will incur is what is known as a marriage value. This could be significant. It is the primary reason why you should extend the lease sooner than later. Most flat owners in Pentonville will meet the qualifying criteria; nevertheless a conveyancing solicitor can confirm whether you qualify for a lease extension. In limited situations you may not qualify, the most frequent reason being that you have owned the property for under two years.

An extended lease has roughly the same value as a freehold

Leasehold residencies in Pentonville with over one hundred years unexpired on the lease are sometimes referred to as ‘virtual freehold’. This is where the lease value the same as a freehold interest in your property. In such circumstances there is often little to be gained by buying the freehold unless savings on ground rent and maintenance charges justify it.

Lending institutions may not loan monies on a short lease

Almost all banks and building societies will not grant a mortgage on a lease with under seventy years unexpired - although this varies from lender to lender. A purchaser will undoubtedly encounter difficulties to obtain a mortgage and this could result in your Pentonville property being difficult to dispose of or to obtain finance on.

What makes us experts in Pentonville lease extensions?

Lease extensions in Pentonville can be a difficult process. We recommend you obtain professional help from a conveyancer and surveyor with experience in lease extensions.

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 dealing with Pentonville lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.

Pentonville Lease Extension Example Cases:

Jonathan, Pentonville, North London,

Jonathan owned a studio apartment in Pentonville on the market with a lease of fraction over 61 years left. Jonathan on an informal basis approached his landlord being a well known local-based freehold company for a lease extension. The landlord was prepared to agree an extension on non-statutory terms taking the lease to 125 years subject to a rise in the rent to £100 annually. Ordinarily, ground rent would not be due on a lease extension were Jonathan to invoke his statutory right. Jonathan obtained expert advice and was able to make a more informed judgement and deal with the matter and sell the flat.

Pentonville case:

Dr Ethan Lee bought a ground floor flat in Pentonville in January 1998. We are asked if we could approximate the compensation to the landlord would likely be for a ninety year extension to my lease. Comparable flats in Pentonville with 100 year plus lease were worth £280,000. The average ground rent payable was £45 collected annually. The lease finished on 9 September 2095. Taking into account 69 years unexpired we approximated the premium to the landlord to extend the lease to be between £12,400 and £14,200 not including professional charges.