Top reasons for Hanworth lease extension

Main reasons to commence your Hanworth lease extension today:

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

It’s an underpublicised truth that a Hanworth residential lease is a deteriorating asset. The lease value reduces in proportion to its lease length. The extent of this is taken for granted in the first few years due to the depreciation being disguised by increases in the Hanworth property prices.Once your lease nears 85ish years, you should start considering a lease extension. If the number of years remaining falls below 80 years, you will end up paying half of the property's 'marriage value' on top of the usual cost of the lease extension to the landlord. Marriage value is the amount of additional value that a lease extension will add the property The majority of leasehold owners in Hanworth will be able to extend under the legislation; however a conveyancer will be able to confirm if you are eligibility. In some situations you may not qualify. There are also strict deadlines and procedures to be adhered to once the process has commenced and you will need to be guided by your conveyancer from beginning to end of the formalities.

An extended lease has roughly the same value as a freehold

It is conventional wisdom that a residential leasehold with more than 100 years remaining is worth approximately the equivalent as a freehold. Where an additional 90 years added to any lease with more than 35 years left, the property will be worth the same as a freehold for many years ahead.

Lenders may not lend with a short lease

The propensity since the credit crunch has been for mortgage companies to tighten lending requirements across the board - this has extended to the types of security over which the home loan is to be charged. This has meant the minimum number of years remaining under the lease required by lenders has increased. In the past lenders were content with twenty years plus the term of the loan - routinely 50 year leases but those requirements evolved by the requirement for longer and longer leases - many now have a minimum term of 75 years as standard.

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

Lease extensions in Hanworth can be a difficult process. We recommend you obtain professional help from a conveyancer and valuer well versed in the legislation and lease extension process.

We provide you with an expert from a selection of lease extension solicitors, which ensures a targeted and efficient service as you have a dedicated port of call with an individual lawyer. Our lease extension solicitors have in-depth market knowledge procuring Hanworth lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.

Hanworth Lease Extension Case Summaries:

Hunter, Hanworth, North London

16 months ago Hunter, came precariously near to the 80-year threshold with the lease on his garden flat in Hanworth. In buying his property two decades ago, the lease term was of no bearing. Luckily, he realised he needed to take action soon on Extending the lease. Hunter arranged for a lease extension just under the wire in July. Hunter and the freeholder via the managing agents subsequently settled on sum of £5,500 . If the lease had dipped lower than 80 years, the figure would have increased by at least £875.

Hanworth case:

Mr and Mrs. R Davies took over the lease of a one bedroom apartment in Hanworth in June 2006. The question was if we could approximate the compensation to the landlord would likely be for a 90 year extension to my lease. Similar homes in Hanworth with 100 year plus lease were valued around £225,800. The mid-range amount of ground rent was £60 billed yearly. The lease lapsed on 6 June 2086. Given that there were 60 years remaining we estimated the compensation to the landlord to extend the lease to be within £23,800 and £27,400 not including fees.