Main reasons to start your Harrow lease extension

Why you should start your Harrow lease extension today:

Increase your lease and increase your Harrow property value

As the length of the unexpired term of a Harrow domestic lease diminished so does its value and therefore the value of your property. Where the residual term has, beyond 100 years remaining then this decrease may be of little impact nevertheless there will become a point in time when a lease has under than 80 years left as part of the premium you will incur is what is known as a marriage value. This could be significant. It is the primary reason why you should consider extending without delay. Most flat owners in Harrow will meet the qualifying criteria; nevertheless a lawyer can advise whether you are eligible for a lease extension. In certain situations you may not qualify, the most frequent reason being that you have not been the owner of the property for two years.

An extended lease is almost the same value as a freehold

Leasehold residencies in Harrow with more than 100 years left on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your property. In such circumstances there is often little to be gained by buying the reversionary interest unless savings on ground rent and estate charges warrant it.

Banks and Building Societies may not lend with a short lease

Mortgage companies do not grant a mortgage on short residential leases. You are likely to experience difficulties where you want to sell your flat in Harrow if the remaining lease term is under the criteria set by the majority of mortgage companies. Different mortgage companies have different requirements but on the whole theyrequire an unexpired term of at least 65 years.

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

The conveyancing solicitors that we work with undertake Harrow 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.

Harrow Lease Extension Example Cases:

Alisha, Harrow, North West London,

Trailing unsuccessful discussions with the landlord of her one bedroom apartment in Harrow, Alisha started the lease extension process as the eighty year threshold was fast nearing. The transaction was concluded in March 2014. The freeholder’s fees were kept to an absolute minimum.

Harrow case:

Last Winter we were phoned by Mr and Mrs. A Williams , who purchased a studio apartment in Harrow in March 2002. The question was if we could approximate the price could be to extend the lease by ninety years. Identical homes in Harrow with 100 year plus lease were worth £210,000. The mid-range ground rent payable was £50 billed monthly. The lease expired in 2106. Having 80 years left we calculated the premium to the freeholder to extend the lease to be within £8,600 and £9,800 plus costs.