Top reasons for Barnes lease extension

Top reasons for lease extension now:

Increase your lease and increase your Barnes property value

It’s an underpublicised truth that a Barnes residential lease is a deteriorating asset. The lease value drops in proportion to its lease length. The extent of this is not fully appreciated in the early years due to the deflation being disguised by increases in the Barnes property prices.Where your lease has approximately ninety years left, you should 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 falls below 80 years - otherwise a higher amount will be payable. The majority of flat owners in Barnes will be able to extend under the legislation; however a conveyancing solicitor will be able to confirm if you are eligibility. In some cases you may not qualify. There are also strict timeframes and procedures to follow once the process has commenced and you will need to be guided by your lawyer throughout the process.

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

Leasehold residencies in Barnes with in excess of 100 years left on the lease are sometimes referred to as ‘virtual freehold’. This is where the lease value the same as a freehold interest in your home. In such situations there is often little upside in purchasing the freehold unless savings on ground rent and estate charges merit it.

Mortgage lenders may decide not to grant a mortgage on a short lease

The propensity since the credit crunch has been for lenders to tighten lending requirements across the board - this has extended to the property over which the mortgage is to be granted. This has resulted in the unexpired lease term required by mortgage companies has increased. Historically mortgage companies would grant a mortgage on a lease with twenty years plus the term of the loan - typically fifty year leases but those requirements are being increasingly undermined by the requirement for lengthy leases - many now have a minimum term of 75 years as standard.

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

Retaining our service gives you enhanced control over the value of your Barnes leasehold, as your property will be more valuable and saleable in relation to the lease length should you decide to sell. The conveyancers that we work with are well versed in the legislation handling many hundreds of lease extensions or freehold purchase transactions.

Barnes Lease Extension Example Cases:

Jordan, Barnes, South West London,

Subsequent to protracted correspondence with the landlord of her first floor apartment in Barnes, Jordan commenced the lease extension process just as her lease was nearing the crucial eighty-year deadline. The lease extension was finalised in February 2010. The freeholder’s costs were restricted to slightly above 600 pounds.

Barnes case:

Last Winter we were called by Mrs Chloe Collins , who completed a one bedroom flat in Barnes in September 1998. The question was if we could estimate the compensation to the landlord could be for a ninety year lease extension. Similar properties in Barnes with 100 year plus lease were valued around £261,600. The mid-range ground rent payable was £60 billed monthly. The lease expired in 2078. Considering the 52 years outstanding we estimated the compensation to the freeholder for the lease extension to be within £39,000 and £45,000 plus fees.