Top reasons for Stoke Newington lease extension

Why you should commence your Stoke Newington lease extension today:

A Stoke Newington lease depreciates with the years remaining on the lease.

Stoke Newington leases on domestic properties are gradually losing value. if your lease has in the region of ninety years left, you should start considering the need for a lease extension. Eighty years is a significant number: when the unexpired term of a lease dips below this level then you begin incurring an additional element called marriage value. Flat owners in Stoke Newington will mostly qualify for a lease extension; however It would be wise to check with a conveyancing solicitor to confirm if you qualify. In some situations you may not be entitled. There are prescribed timetables and procedures to comply with once the process has commenced so it’s best to be guided by a lawyer during the process.

Stoke Newington property with a lease extension has roughly the same value as a freehold

It is conventional wisdom that a residential leasehold with more than 100 years unexpired lease term is worth approximately the equivalent as a freehold. Where an further 90 years added to all but the shortest lease, the residence will be equivalent in value to a freehold for many years in the future.

Mortgage lenders may not finance a property on a short lease

Mortgage companies are really restricting their approach as regards to properties in Stoke Newington with short leases. For example you may find that their lending criteria are stricter and that they adjust interest rates depending on the unexpired lease term. Some may even refuse to lend completely, so if you needed to sell, your only options would be to find a cash buyer, or try your luck at auction thus restricting your market.

What makes us experts in Stoke Newington lease extensions?

Using our service gives you better control over the value of your Stoke Newington leasehold, as your property will be more valuable and marketable in respect 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.

Stoke Newington Lease Extension Example Cases:

Finn, Stoke Newington, London,

Finn owned a conversion flat in Stoke Newington on the market with a lease of a little over 61 years outstanding. Finn informally approached his landlord being a well known Bristol-based freehold company and enquired on a premium to extend the lease. The freeholder indicated a willingness to grant an extension taking the lease to 125 years on the basis of a new rent to start with set at £200 per annum and doubled every 25 years thereafter. No ground rent would be payable on a lease extension were Finn to exercise his statutory right. Finn procured expert advice and secured satisfactory resolution informally and ending up with a market value flat.

Stoke Newington case:

Mr and Mrs. P Hall acquired a one bedroom apartment in Stoke Newington in February 2006. The question was if we could approximate the premium would likely be for a ninety year lease extension. Identical premises in Stoke Newington with an extended lease were valued about £255,000. The mid-range ground rent payable was £50 billed monthly. The lease concluded in 2097. Considering the 71 years outstanding we calculated the premium to the landlord for the lease extension to be within £9,500 and £11,000 exclusive of costs.