Why you should start your Enfield lease extension

Main reasons to commence your Enfield lease extension today:

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

Enfield leases on domestic deteriorating in value. if your lease has about 90 years unexpired, you should start thinking about a lease extension. 80 years is a significant number: when the unexpired term of a lease falls below this level then you begin paying an additional element called marriage value. Flat owners in Enfield will mostly be legally entitled to a lease extension; however it’s a good idea to check with a conveyancer to check if you qualify. In some cases you may not be entitled. There are also strict deadlines and steps to follow once the process has started so it’s sensible to be guided by a conveyancer during the process.

An extended lease is almost the same value as a freehold

It is conventional wisdom that a residential leasehold with over one hundred years remaining is worth approximately the equivalent as a freehold. Where an additional 90 years added to all but the shortest lease, the property will be worth the same as a freehold for many years ahead.

Mortgage lenders may decide not to finance a property with a short lease

The trend since the credit crunch has been for lenders to tighten lending requirements across the board - this has extended to the property over which the mortgage is to be charged. This has meant the minimum number of years remaining under the lease required by lenders has increased. Historically mortgage companies would lend on a lease with twenty years plus the term of the loan - typically fifty year leases but those requirements have been chipped away by the requirement for longer and longer leases - many now have a minimum term of 75 years as a prerequisite.

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

The lawyers that we work with undertake Enfield 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 lawyer we work with provide it.

Enfield Lease Extension Case Summaries:

Leah, Enfield, North London,

In the wake of 6 months of protracted negotiations with the landlord of her two bedroom flat in Enfield, Leah started the lease extension process as the 80 year deadline was swiftly approaching. The transaction was concluded in May 2014. The landlord’s costs were negotiated to under 650 GBP.

Enfield case:

Mr L Davies was assigned a lease of a ground floor apartment in Enfield in January 2009. The question was if we could approximate the price could be for a 90 year lease extension. Comparable homes in Enfield with 100 year plus lease were in the region of £184,000. The average ground rent payable was £55 billed monthly. The lease elapsed on 24 May 2079. Taking into account 53 years left we estimated the compensation to the landlord to extend the lease to be within £28,500 and £33,000 not including fees.