Top reasons for South Harrow lease extension

Top reasons for lease extension now:

Increase your lease and increase your South Harrow property value

The market value of South Harrow leasehold residential property falls as the lease term becomes shorter and this will have an impact on its saleability. The cost of a lease extension can increase significantly once the unexpired lease term is below than eighty years

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

It is generally accepted that a property with in excess of 100 years remaining is worth roughly the same as a freehold. Where an additional 90 years added to all but the shortest lease, the property will be equivalent in value to a freehold for many years ahead.

Lenders will not loan monies with a short lease

The trend since the credit crunch has been for banks to tighten lending requirements across the board - this has extended to the types of security over which the home loan is to be charged. This has meant the minimum number of years remaining under the lease required by mortgage companies has increased. In the past mortgage companies were content with 25 years plus the term of the loan - typically fifty year leases but those requirements evolved by the requirement for lengthy leases - many use a minimum term of 75 years as a prerequisite.

Why use us for your lease extension in South Harrow?

Irrespective of whether you are a tenant or a freeholder in South Harrow,the lease extension experts that we work with will always be prepared to discuss any residential leasehold matters and offer you the benefit of their experience and the close ties they enjoy with South Harrow valuers.

South Harrow Lease Extension Case Summaries:

Riley, South Harrow, North London

Half a year ago Riley, came dangerously close to the 80-year mark with the lease on his basement apartment in South Harrow. In buying his flat two decades ago, the length of the lease was of no concern. As luck would have it, he recognised he needed to take steps soon on Extending the lease. Riley arranged for a lease extension at the eleventh hour last August. Riley and the landlord who owned the flat above subsequently agreed on a premium of £6,000 . If the lease had fallen lower than 80 years, the price would have increased by at least £1,050.

South Harrow case:

In 2013 we were contacted by Ms R Ali who, having purchased a ground floor apartment in South Harrow in September 2003. We are asked if we could approximate the premium would likely be for a 90 year lease extension. Identical properties in South Harrow with a long lease were worth £250,000. The mid-range ground rent payable was £50 invoiced monthly. The lease ended on 18 February 2095. Considering the 69 years as a residual term we approximated the compensation to the landlord for the lease extension to be between £9,500 and £11,000 not including professional charges.