Why you should start your Harrow lease extension

Top reasons for lease extension now:

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

It’s an underpublicised certainty that a Harrow residential lease is a wasting asset. As the lease term diminishes so does the value of the property. The extent of this is taken for granted in the early years due to the deflation being disguised by increases in the Harrow property prices.Where your lease has approximately 90 years left, you need to start considering a lease extension. If lease term falls below eighty years, you will end up paying 50% 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 Harrow will be able to extend under the legislation; however a conveyancing solicitor will be able to confirm whether you qualify for an extension. In some cases you may not be entitled. There are also strict timetables and procedures to be adhered to once the process has commenced and you will need to be guided by your conveyancing solicitor throughout the process.

An extended lease is almost the same value as a freehold

It is generally considered that a residential leasehold with in excess of 100 years unexpired lease term is worth roughly the same as a freehold. Where an further ninety years added to all but the shortest lease, the residence will be equivalent in value to a freehold for decades to come.

Mortgage lenders will not grant a mortgage with a short lease

Almost all mortgage companies require a lengthy amount of time remaining on a leasehold residence before they will contemplate providing a mortgage on it. Regardless of whether you need a mortgage, you should be mindful that it is reasonable to assume that someone intending to purchase your property in the future might well do, so if they are not able to obtain a mortgage, then the value of your property will likely be adversely impacted. Since 2008 many mortgage lenders have increased the required minimum lease length that they are prepared to lend on

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

Lease extensions in Harrow can be a difficult process. We recommend you get guidance from a lawyer and surveyor with experience in this area.

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 procuring Harrow lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.

Harrow Lease Extension Case Summaries:

Oscar, Harrow, North West London,

Oscar owned a conversion apartment in Harrow being sold with a lease of fraction over 72 years outstanding. Oscar informally spoke with his freeholder being a well known Manchester-based freehold company and enquired on a premium to extend the lease. The landlord indicated a willingness to grant an extension taking the lease to 125 years subject to a rise in the rent to £50 per annum. No ground rent would be due on a lease extension were Oscar to exercise his statutory right. Oscar procured expert legal guidance and secured an acceptable resolution without going to tribunal and sell the flat.

Harrow case:

In 2012 we were called by Mr and Mrs. Y Morgan who, having bought a recently refurbished apartment in Harrow in January 2007. We are asked if we could estimate the price would be to extend the lease by ninety years. Identical properties in Harrow with a long lease were worth £270,000. The average amount of ground rent was £65 invoiced quarterly. The lease came to a finish in 2094. Taking into account 68 years outstanding we estimated the compensation to the freeholder to extend the lease to be within £12,400 and £14,200 plus costs.