Why you should start your Edgware lease extension

Main reasons to commence your Edgware lease extension today:

A Edgware lease depreciates with the years remaining on the lease.

Unfortunately that a Edgware residential lease is a wasting asset. The lease value reduces in proportion to its lease length. The extent of this is taken for granted in the early years due to the depreciation being disguised by increases in the Edgware property prices.Once your lease nears 85ish years, you should start thinking about 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 slips lower than eighty years - otherwise a higher amount will be due. The majority of flat owners in Edgware will be able to extend under the legislation; however a conveyancing solicitor will be able to clarify whether you qualify for an extension. In some cases you may not be entitled. There are also strict timeframes and procedures to follow once the process is instigated and you will need to be guided by your conveyancing solicitor for the duration of the formalities.

Edgware property with a lease extension has roughly the same value as a freehold

Leasehold properties in Edgware with more than one hundred years outstanding on the lease are often regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your property. In such situations there is often little upside in purchasing the reversionary interest unless savings on ground rent and service charges justify it.

Lending institutions will not loan monies on a short lease

The definition of a short lease depends on the specific mortgage company, yet lending institutions start to become jittery at around 75 years. This may cause difficulties when you come to market or remortgage your property as it will be practically unmortgageable. Even though you may have no imminent plan to sell but when you do your purchaser will have to wait two years before being able to exercise the right to a an extension to the lease.

What makes us experts in Edgware lease extensions?

Using our service will provide you better control over the value of your Edgware leasehold, as your property will be more valuable and saleable in terms of lease length should you wish to sell. The lawyers that we work with have a wealth of experience of handling many hundreds of lease extensions or freehold purchase transactions.

Edgware Lease Extension Case Summaries:

Alex, Edgware, North London

Last year Alex, came dangerously near to the 80-year threshold with the lease on his garden flat in Edgware. Having purchased his home 18 years previously, the unexpired term was of minimal concern. by good luck, he became aware that he needed to take steps soon on a lease extension. Alex arranged for a lease extension just under the wire last June. Alex and the freeholder eventually settled on an amount of £6,000 . If he not met the deadline, the price would have increased by at least £925.

Edgware case:

Dr Eliot Lewis owned a garden flat in Edgware in March 2006. We are asked if we could estimate the price could be to extend the lease by a further 90 years. Similar premises in Edgware with 100 year plus lease were valued about £280,000. The mid-range ground rent payable was £55 billed per annum. The lease concluded on 5 August 2104. Taking into account 78 years unexpired we approximated the premium to the freeholder for the lease extension to be between £13,300 and £15,400 not including expenses.