Why you should commence your Burnt Oak lease extension

Why you should commence your Burnt Oak lease extension today:

Increase your lease and increase your Burnt Oak property value

The market value of Burnt Oak leasehold residential property falls as the lease term becomes shorter and this will have an impact on its saleability. The expense of extending the lease can escalate substantially once the unexpired lease term is less than eighty years

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

Leasehold properties in Burnt Oak with more than 100 years outstanding on the lease are sometimes 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 estate charges warrant it.

Lending institutions will not lend with a short lease

Whether or not the lease is be regarded as a short lease varies by mortgage company, yet lending institutions start to get nervous at around 75 years. This will cause difficulties once you come to market or remortgage your property as it will be effectively unmortgageable. You may not have an imminent intention to sell but when you do your buyer must hold off for 2 years before being able to exercise the right to a a lease extension.

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

Lease extensions in Burnt Oak can be a difficult process. We recommend you secure guidance from a conveyancer and surveyor well versed in the legislation and lease extension process.

We provide you with an expert from a selection of lease extension solicitors, which ensures a targeted and efficient service as you have a dedicated port of call with an individual lawyer. Our lease extension solicitors have in-depth market knowledge dealing with Burnt Oak lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.

Burnt Oak Lease Extension Example Cases:

Leon, Burnt Oak, North London,

Leon was the the leasehold owner of a studio apartment in Burnt Oak on the market with a lease of fraction over sixty years remaining. Leon informally approached his landlord being a well known local-based freehold company and enquired on a premium to extend the lease. The landlord was prepared to give an extension on non-statutory terms taking the lease to 125 years subject to a new rent initially set at £100 per annum and increase every 25 years thereafter. No ground rent would be due on a lease extension were Leon to invoke his statutory right. Leon obtained expert legal guidance and secured satisfactory deal without resorting to tribunal and sell the property.

Burnt Oak case:

Last Summer we were phoned by Mrs W King , who acquired a purpose-built apartment in Burnt Oak in November 2008. The dilemma was if we could approximate the premium would be for a ninety year extension to my lease. Identical residencies in Burnt Oak with an extended lease were valued about £201,200. The average amount of ground rent was £55 invoiced every twelve months. The lease ran out in 2082. Given that there were 56 years left we estimated the compensation to the landlord for the lease extension to be between £31,400 and £36,200 plus fees.