Why you should start your East Finchley lease extension

Why you should start your East Finchley lease extension today:

A East Finchley lease depreciates with the years remaining on the lease.

As the length of the unexpired term of a East Finchley residential lease lessens so does its value and therefore the value of your property. If the residual term has, in excess of 99 years to run then this decrease may be of little impact however there will become a point in time when a lease has less than eighty years left as part of the premium you will incur is what is termed as a marriage value. This could increase sharply the cost. It is the main rational as to why you should extend the lease sooner as opposed to later. Most flat owners in East Finchley will meet the qualifying criteria; nevertheless a lawyer should be able to advise whether you qualify for a lease extension. In certain situations you may not qualify, the most frequent reason being that you have owned the property for less than two years.

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

Leasehold residencies in East Finchley with in excess of 100 years left on the lease are often regarded as a ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your home. In such situations there is often little to be gained by purchasing the freehold unless savings on ground rent and service charges merit it.

Mortgage lenders may decide not to issue a mortgage with a short lease

Most mortgage companies insist on a lengthy amount of time remaining on a leasehold property before they will consider it as adequate security. Even if you don't require a mortgage, you should bear in mind that it is likely that someone wanting to buy your property in the future might well do, so if they can't get a mortgage, then the financial worth of the property will likely be adversely impacted. Since 2008 many mortgage lenders have increased the required minimum lease length that they are prepared to accept

Why use us for your lease extension in East Finchley?

The conveyancers that we work with procure East Finchley lease extensions and help protect your position. A lease extension can be arranged to be completed to coincide with a change of ownership so the costs of the lease extension are paid for using part of the sale proceeds. You really do need expert legal advice in this difficult and technical area of law. The conveyancer we work with provide it.

East Finchley Lease Extension Case Summaries:

Ibrahim, East Finchley, North London,

Ibrahim was the the leasehold proprietor of a 2 bedroom flat in East Finchley on the market with a lease of a little over fifty eight years remaining. Ibrahim on an informal basis contacted his landlord a well known London-based freehold company and enquired on a premium to extend the lease. The freeholder was prepared to grant an extension on non-statutory terms taking the lease to 125 years on the basis of a new rent at the outset set at £200 per annum and doubled every twenty five years thereafter. No ground rent would be payable on a lease extension were Ibrahim to invoke his statutory right. Ibrahim obtained expert legal guidance and was able to make an informed judgement and deal with the matter and readily saleable.

East Finchley case:

In 2011 we were approached by Mr and Mrs. C Wood who, having acquired a first floor apartment in East Finchley in February 1998. We are asked if we could shed any light on how much (approximately) compensation to the landlord would be for a 90 year extension to my lease. Identical flats in East Finchley with a long lease were valued about £245,000. The average amount of ground rent was £50 collected per annum. The lease elapsed on 2 September 2094. Having 68 years unexpired we approximated the compensation to the landlord to extend the lease to be between £9,500 and £11,000 exclusive of professional charges.