Why you should commence your Chalk Farm lease extension

Why you should start your Chalk Farm lease extension today:

A Chalk Farm leasehold property depreciates with the years remaining on the lease.

Chalk Farm leases on residential properties are gradually losing value. The shorter the remaining lease term becomes, the less it is worth – and accordingly any extension of your lease becomes more expensive. The majority of owners of residential leasehold property in Chalk Farm enjoy rights under legislation to extend the terms of their leases. Where you are a leasehold owner in Chalk Farm you should see if your lease has between 70 and ninety years remaining. There are good reasons why a Chalk Farm flat owner with a lease having around eighty years remaining should take action to ensure that a lease extension is actioned without delay

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

It is conventional wisdom that a property with more than 100 years unexpired lease term is worth roughly the equivalent as a freehold. Where an additional ninety years added to any lease with more than 45 years remaining, the premises will be worth the same as a freehold for many years ahead.

Lending institutions may decide not to issue a mortgage with a short lease

The definition of a short lease varies by mortgage company, yet lending institutions start to get nervous at around 75 years. This will cause difficulties once you need to market or refinance your property as it will be effectively unmortgageable. You might not have an immediate plan to sell but when you do your purchaser must wait 2 years before they can initiate the legal procedures for a lease extension.

What makes us experts in Chalk Farm lease extensions?

Engaging our service will provide you enhanced control over the value of your Chalk Farm leasehold, as your property will be more valuable and saleable in respect of lease length should you want to sell. The conveyancing solicitors that we work with are well versed in the legislation handling many hundreds of lease extensions or freehold purchase transactions.

Chalk Farm Lease Extension Example Cases:

Alexander, Chalk Farm, North London,

Alexander was the the leasehold owner of a 2 bedroom apartment in Chalk Farm being sold with a lease of just over 72 years remaining. Alexander on an informal basis spoke with his freeholder being a well known Manchester-based freehold company for a lease extension. The freeholder was prepared to give an extension on non-statutory terms taking the lease to 125 years subject to a new rent initially set at £150 per annum and doubled every 25 years thereafter. No ground rent would be payable on a lease extension were Alexander to invoke his statutory right. Alexander obtained expert advice and was able to make an informed judgement and handle with the matter and readily saleable.

Chalk Farm case:

In 2009 we were phoned by Mr and Mrs. Y Petit who, having owned a recently refurbished flat in Chalk Farm in March 2008. The dilemma was if we could approximate the price would be to prolong the lease by ninety years. Identical premises in Chalk Farm with 100 year plus lease were valued around £198,800. The mid-range amount of ground rent was £55 collected yearly. The lease ran out on 21 July 2081. Given that there were 55 years outstanding we estimated the compensation to the landlord for the lease extension to be within £33,300 and £38,400 exclusive of legals.