Main reasons to start your Wood Green lease extension

Top reasons for lease extension now:

Increase your lease and increase your Wood Green property value

Wood Green leases on residential deteriorating in value. Where your lease has approximately 90 years unexpired, you should start thinking about a lease extension. If lease term is less than eighty years, you will then be required to pay 50% of the property's 'marriage value' on top of the standard cost of the lease extension to the landlord. Marriage value is the amount of extra value that a lease extension will add to the property. Flat owners in Wood Green will mostly be legally entitled to a lease extension; however it’s a good idea to check with a conveyancing solicitor to confirm if you qualify. In certain cases you may not be entitled. There are prescribed deadlines and steps to comply with once the process has started so it’s best to be guided by a conveyancing solicitor during the process.

An extended lease has roughly the same value as a freehold

Leasehold properties in Wood Green with in excess of one hundred years outstanding on the lease are often referred to as ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your property. In such situations there is often little upside in purchasing the freehold unless savings on ground rent and maintenance charges justify it.

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

Mortgage companies are really clamping down as regards to properties in Wood Green with short leases. For example you might discover that their lending criteria are stricter and that they adjust interest rates depending on how many years are left on the lease. Some may even refrain from lending completely, so if you wanted to sell, your remaining options would be to find a cash purchaser, or hope for the best at auction thus narrowing the amount of potential purchasers.

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

Retaining our service gives you better control over the value of your Wood Green leasehold, as your property will be more valuable and saleable in terms of lease length should you decide to sell. The conveyancers that we work with have a wealth of experience of handling many hundreds of lease extensions or freehold purchase transactions.

Wood Green Lease Extension Case Summaries:

Aaron, Wood Green, North London

In 2014 Aaron, came perilously near to the eighty-year threshold with the lease on his one bedroom apartment in Wood Green. In buying his home two decades ago, the length of the lease was of little relevance. Luckily, he realised he needed to take action soon on a lease extension. Aaron was able to extend his lease just under the wire in May. Aaron and the freeholder via the management company ultimately agreed on the final figure of £6,000 . If the lease had dropped below 80 years, the price would have increased by a minimum £1,000.

Wood Green case:

Mr Luke Howard completed a studio flat in Wood Green in October 2012. We are asked if we could approximate the compensation to the landlord would likely be for a 90 year lease extension. Comparative properties in Wood Green with 100 year plus lease were valued around £227,800. The average amount of ground rent was £45 collected yearly. The lease expired on 9 February 2091. Considering the 65 years as a residual term we estimated the premium to the freeholder for the lease extension to be between £13,300 and £15,400 plus professional charges.