Top reasons for Totteridge lease extension

Top reasons for lease extension now:

A Totteridge lease depreciates with the years remaining on the lease.

Totteridge residential property owned on a long lease is a wasting asset because a leaseholder only owns the property for a set term.

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

Leasehold premises in Totteridge with in excess of one hundred years outstanding 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 situations there is often little to be gained by purchasing the reversionary interest unless savings on ground rent and maintenance charges justify it.

Mortgage lenders will not issue a mortgage on a short lease

Mortgage lenders have set criteria when lending monies charged on leasehold property. Some will simply not lend at all once the remaining lease term drops below a certain unexpired lease term. Many Lending institutions will not regard property with an unexpired term of less than 75 years as adequate security. In addition to impacting your ability to sell, it is also relevant where you are intending to remortgage your Totteridge property.

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

The lawyers that we work with procure Totteridge 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 conveyancer we work with provide it.

Totteridge Lease Extension Case Studies:

Rachael, Totteridge, North London,

Following lengthy negotiations with the landlord of her first floor apartment in Totteridge, Rachael commenced the lease extension process just as the lease was coming close to the crucial 80-year deadline. The lease extension was finalised in November 2014. The freeholder’s fees were restricted to slightly above 600 GBP.

Totteridge case:

In 2014 we were approached by Mrs O Lee who, having acquired a one bedroom flat in Totteridge in August 2004. We are asked if we could shed any light on how much (roughly) compensation to the landlord would likely be for a 90 year extension to my lease. Comparative homes in Totteridge with an extended lease were in the region of £205,000. The average amount of ground rent was £50 invoiced annually. The lease ran out on 11 January 2105. Having 79 years outstanding we approximated the premium to the landlord to extend the lease to be within £8,600 and £9,800 exclusive of costs.