Why you should start your Harlow lease extension

Main reasons to start your Harlow lease extension today:

Increase your lease and increase your Harlow property value

As the length of the unexpired term of a Harlow domestic lease diminished so does its value and therefore the value of your property. Where the lease has, over 99 years remaining then this decrease may be fractional however there will become a point in time when a lease has less than 80 years unexpired as part of the premium you will incur is what is termed as a marriage value. This could be significant. It is the primary logic behind why you should extend the lease sooner rather than later. Most flat owners in Harlow will meet the qualifying criteria; nevertheless a conveyancer will be able to confirm if you qualify to extend your lease. In limited situations you may not qualify, the most common reason being that you have owned the property for less than two years.

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

It is generally accepted that a property with over 100 years remaining is worth roughly the equivalent as a freehold. Where an further 90 years added to any lease with more than 45 years left, the premises will be worth the same as a freehold for many years in the future.

Mortgage lenders will not loan monies on a short lease

The trend since the credit crunch has been for banks to tighten lending criteria across the board - this has extended to the types of security over which the mortgage is to be charged. This has resulted in the unexpired lease term required by banks has increased. Historically mortgage companies were content with 25 years plus the term of the loan - typically 50 year leases but those requirements evolved by the requirement for lengthy leases - many now have a minimum term of 75 years as a prerequisite.

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

Lease extensions in Harlow can be a difficult process. We recommend you get guidance from a conveyancing solicitor and valuer with experience in lease extensions.

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 a wealth of experience dealing with Harlow lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.

Harlow Lease Extension Case Studies:

Aimee, Harlow, Essex,

Off the back of unsuccessful negotiations with the freeholder of her basement apartment in Harlow, Aimee initiated the lease extension process as the 80 year threshold was rapidly coming. The transaction completed in October 2014. The freeholder’s costs were kept to an absolute minimum.

Harlow case:

In 2009 we were phoned by Mr Ollie Gray who, having moved into a one bedroom apartment in Harlow in February 2005. The dilemma was if we could shed any light on how much (roughly) premium would likely be to extend the lease by ninety years. Identical residencies in Harlow with an extended lease were worth £183,600. The mid-range amount of ground rent was £65 collected every twelve months. The lease end date was in 2083. Taking into account 57 years left we approximated the premium to the landlord for the lease extension to be within £28,500 and £33,000 not including costs.

Harlow case:

Mrs Mollie Walker bought a one bedroom flat in Harlow in October 2007. We are asked if we could approximate the price could be to extend the lease by an additional years. Similar flats in Harlow with a long lease were worth £245,000. The mid-range ground rent payable was £50 billed yearly. The lease finished on 14 January 2094. Taking into account 68 years unexpired we approximated the premium to the landlord to extend the lease to be between £9,500 and £11,000 exclusive of expenses.