Top reasons for South Harrow lease extension

Why you should start your South Harrow lease extension today:

A South Harrow leasehold property depreciates with the years remaining on the lease.

Unfortunately that a South Harrow residential lease is a wasting asset. As the lease term reduces so does the value of the property. The extent of this is not fully appreciated in the early years due to the loss of value being disguised by increases in the South Harrow property prices.Where your lease has approximately ninety years left, you need to start considering a lease extension. An important point to note is that it is desirable for lease extension to take place before the term of the existing lease dips lower than eighty years - otherwise a higher amount will be payable. The majority of leasehold owners in South Harrow will be able to extend under the legislation; however a conveyancing solicitor should be able to clarify whether you qualify for an extension. In some cases you may not qualify. There are also strict timeframes and procedures to be adhered to once the process has commenced and you will need to be guided by your conveyancer from beginning to end of the process.

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

Leasehold premises in South Harrow with over 100 years unexpired on the lease are sometimes 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 reversionary interest unless savings on ground rent and estate charges merit it.

Banks and Building Societies will not issue a mortgage with a short lease

Almost all mortgage companies require a lengthy amount of time remaining on a leasehold property before they will consider providing a mortgage on it. Regardless of whether you require a mortgage, you should bear in mind that it is probable that someone wanting to acquire your property in the future might well do, so in the event that they can't secure a mortgage, then the financial worth of your property could suffer. In the last decade the majority of mortgage lenders have increased the required minimum lease length that they are willing to lend on

Get in touch with one of our South Harrow lease extension solicitors or enfranchisement solicitors

The conveyancing solicitors that we work with undertake South Harrow 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 lawyer we work with provide it.

South Harrow Lease Extension Example Cases:

Samuel, South Harrow, North London

Last Spring Samuel, started to get near to the eighty-year mark with the lease on his first floor flat in South Harrow. In buying his property 19 years ago, the lease term was of little interest. As luck would have it, he recognised he would soon be paying an inflated amount for Extending the lease. Samuel was able to extend his lease just in the nick of time last May. Samuel and the landlord who owned the flat above ultimately agreed on a premium of £5,000 . If he had missed the deadline, the figure would have increased by a minimum £1,125.

South Harrow case:

Last month we were approach by Mrs Rhiannon Martínez , who bought a one bedroom apartment in South Harrow in June 2000. We are asked if we could estimate the premium could be to extend the lease by an additional years. Similar properties in South Harrow with a long lease were in the region of £246,800. The average ground rent payable was £60 invoiced every twelve months. The lease finished in 2076. Having 50 years remaining we estimated the premium to the landlord to extend the lease to be within £44,700 and £51,600 plus legals.