Main reasons to start your Finsbury Park lease extension

Top reasons for lease extension now:

A Finsbury Park leasehold property depreciates with the years remaining on the lease.

It’s an underpublicised truth that a Finsbury Park residential lease is a deteriorating asset. The lease value drops in proportion to its lease length. The extent of this is not fully appreciated in the early years due to the loss of value being disguised by increases in the Finsbury Park property market.Where your lease has approximately ninety years left, you need to 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 falls below eighty years - otherwise a higher premium will be due. The majority of flat owners in Finsbury Park will be able to extend under the legislation; however a conveyancing solicitor will be able to clarify whether you are eligibility. In some situations you may not be entitled. There are also strict timetables and procedures to be adhered to once the process is instigated and you will need to be guided by your conveyancer from beginning to end of the formalities.

An extended lease is almost the same value as a freehold

Leasehold residencies in Finsbury Park with more than 100 years outstanding 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 property. In such situations there is often little upside in buying the freehold unless savings on ground rent and estate charges warrant it.

Banks and Building Societies may not issue a mortgage with a short lease

Most banks have narrowed their lending criteria in recent years and borrowers are finding it increasingly difficult to raise finance or re-mortgage against flats with shorter lease terms, particularly under seventy years as they are considered to be insufficient for lending purposes.

Why use us for your lease extension in Finsbury Park?

Regardless of whether you are a tenant or a freeholder in Finsbury Park,the lease extension solicitors that we work with will always be prepared to discuss any residential leasehold matters and offer you the benefit of their in-depth market knowledge and the close ties they enjoy with Finsbury Park valuers.

Finsbury Park Lease Extension Example Cases:

Evan, Finsbury Park, North London,

Evan was the the leasehold proprietor of a 2 bedroom flat in Finsbury Park being marketed with a lease of a few days over 61 years remaining. Evan informally approached his freeholder being a well known local-based freehold company for a lease extension. The landlord was prepared to agree an extension on non-statutory terms taking the lease to 125 years subject to a rise in the rent to £200 annually. Ordinarily, ground rent would not be due on a lease extension were Evan to invoke his statutory right. Evan obtained expert legal guidance and was able to make an informed judgement and handle with the matter and sell the property.

Finsbury Park case:

Last month we were phoned by Mrs Alisha Morel , who took over the lease of a garden apartment in Finsbury Park in June 2012. We are asked if we could estimate the compensation to the landlord would likely be to prolong the lease by ninety years. Comparable homes in Finsbury Park with 100 year plus lease were worth £174,200. The mid-range ground rent payable was £55 invoiced per annum. The lease finished in 2077. Taking into account 51 years outstanding we estimated the compensation to the freeholder to extend the lease to be within £31,400 and £36,200 plus costs.