Top reasons for Brondesbury lease extension
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Why you should commence your Brondesbury lease extension today: </h3>
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Increase your lease and increase your <a href="http://www.lendermonitor.com/conveyancing/loc/brondesbury">Brondesbury</a> property value </h4>
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Brondesbury leases on domestic properties are gradually losing value. if your lease has in the region of 90 years remaining, you should start thinking about a lease extension. An important point to note is that it is desirable for a lease extension to be in place before the term of the existing lease dips below 80 years - otherwise a higher amount will be due. Leasehold owners in Brondesbury 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 qualify. There are prescribed timetables and procedures to comply with once the process is triggered so it’s prudent to be guided by a lawyer during the process.
<h4>Brondesbury property with a lease extension is almost the same value as a freehold</h4>
<p> It is generally considered that a property with in excess of 100 years unexpired lease term is worth approximately 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 decades to come.
<h4>Mortgage lenders may not loan monies with a short lease</h4>
Most mortgage lenders have tightened lending criteria in the last ten years and borrowers are finding it increasingly difficult to raise finance or re-mortgage against flats with shorter lease terms, particularly below seventy years as they are regarded as insufficient for lending purposes.
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<tr><th>Lender</th>
<th> Requirement
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<td>Barclays plc</td>
<td> Leases with less than 70 years at the commencement of the mortgage should be declined (see exception below).<br /><br />Leases with greater than 70 years but fewer than 85 years remaining must be referred to issuing office.<br /><br />Leases with fewer than 70 years should only be referred to the issuing office where the following scenario applies, as discretion may be applied subject to bank approval:<br /><br />• Property is located in any of the following prestigious developments: Cadogan, Crown, Grosvenor, Howard de Walden, Portman or Wellcome Trust Estates in Central London AND<br />• The value of the property subject to the short remaining term is £500,000 or more AND<br />• The loan to value does not exceed 90% for purchases, 90% like for like re-mortgages, 80% for re-mortgages with any element of capital raising and 80% for existing Barclays mortgage borrowers applying for additional borrowing;
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<td>Coventry Building Society</td>
<td> A minimum of 70 years unexpired lease at completion for all scheme types apart from Lifetime Mortgages (Equity Release), which require a minimum unexpired term of 80 years at completion.
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<td>Lloyds TSB Scotland</td>
<td> Minimum 70 years from the date of the mortgage.
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<td>TSB</td>
<td> Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption.
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<td>Yorkshire Building Society</td>
<td> 85 years from the date of completion of the mortgage. Please ensure that you explain the implications of a short term lease to the borrower.
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Why use us for your lease extension in Brondesbury? </h4>
<p> Using our service gives you enhanced control over the value of your Brondesbury leasehold, as your property will be more valuable and marketable in terms of lease length should you want to sell.
The lawyers that we work with are well versed in the legislation handling many hundreds of lease extensions or freehold purchase transactions. <h4>
Brondesbury Lease Extension Case Studies:
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<h5> Daniel, Brondesbury, North London</h5>
<p> Twenty four months ago Daniel, came very near to the 80-year threshold with the lease on his two bedroom apartment in Brondesbury. Having bought his property 18 years previously, the unexpired term was of no concern. Fortunately, he realised he needed to take action soon on Extending the lease. Daniel arranged for a lease extension just under the wire last June. Daniel and the freeholder in the end settled on an amount of £5,500 . If the lease had slipped lower than 80 years, the amount would have gone up by a minimum £1,000.
<h5>Brondesbury case:</h5>
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Last Autumn we were called by Mrs K Miller , who
moved into a purpose-built apartment in Brondesbury in November 2002. The question was if we could estimate the price would be to prolong the lease by 90 years. Identical premises in Brondesbury with an extended lease were in the region of £218,400. The average ground rent payable was £60 collected monthly. The lease concluded in 2085. Given that there were 59 years unexpired we estimated the premium to the landlord to extend the lease to be within £27,600 and £31,800 plus professional charges.
<div> <h5>Decision in Brent</h5>
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An example of a Lease Extension matter before the tribunal for a Brondesbury property is
50a Cavendish Road in April 2014. The Tribunal determines that the premium payable by the Applicant in respect of the extension of the lease for the flat was £82,319.
This case related to 1 flat. The remaining number of years on the lease was 49.26 years.
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