Why you should start your Havering lease extension
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<h3> Top reasons for lease extension now:
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<h4> A <a href="http://www.lendermonitor.com/conveyancing/loc/havering">Havering</a> lease depreciates with the years remaining on the lease.
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Havering leases on residential properties are gradually losing value. The shorter the remaining lease term becomes, the less it is worth – and accordingly any extension of the lease gets more expensive. It is the case that most Havering tenants have the right to extend their lease by an additional ninety years under the 1993 Leasehold Reform Act. Where you are a leasehold owner in Havering you really ought to investigate if your lease has between 70 and ninety years left. There are compelling reasons why a Havering flat owner with a lease having around eighty years unexpired should take action to make sure that a lease extension is put in place without delay <h4>Havering property with a lease extension has roughly the same value as a freehold</h4>
<p> It is generally considered that a residential leasehold with over one hundred years unexpired lease term is worth roughly the same as a freehold. Where an additional ninety years added to all but the shortest lease, the residence will be equivalent in value to a freehold for many years in the future.
<h4>Lending institutions may not issue a mortgage with a short lease</h4> Whether or not the lease is be regarded as a short lease depends on the specific mortgage company, yet mortgage lenders start to get concerned at around 75 years. This will cause difficulties when you wish to dispose of or remortgage your flat as it will be effectively unmortgageable. You may have no immediate plan to sell but when you do your purchaser will have to wait 2 years before they can commence the legal procedures for an extension to the lease.
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<tr><th>Lender</th>
<th> Requirement
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<td>Accord Mortgages</td>
<td> 85 years from the date of completion of the mortgage. Please ensure that you explain the implications of a short term lease to the borrower.
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<td>Chelsea Building Society</td>
<td> 85 years from the date of completion of the mortgage. Please ensure that you explain the implications of a short term lease to the borrower.
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<td>Coventry Building Society</td>
<td> A minimum of 70 years unexpired lease at completion for all scheme types apart from Lifetime Mortgages (Equity Release), which require a minimum unexpired term of 80 years at completion.
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<td>Leeds Building Society</td>
<td> 85 years remaining from the start of the mortgage.
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<td>Royal Bank of Scotland</td>
<td> Mortgage term plus 30 years.
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Why use us for your lease extension in Havering? </h4>
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Lease extensions in Havering can be a difficult process. We recommend you procure professional help from a lawyer and surveyor with experience in lease extensions.
<p>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 dealing with Havering lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
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Havering Lease Extension Example Cases:
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<h5> Jasper, Havering, London,</h5>
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Jasper owned a 2 bedroom flat in Havering on the market with a lease of just over sixty years left. Jasper informally approached his freeholder a well known London-based freehold company and enquired on a premium to extend the lease. The freeholder was prepared to agree an extension on non-statutory terms taking the lease to 125 years on the basis of a new rent initially set at £150 per annum and doubled every twenty five years thereafter. No ground rent would be due on a lease extension were Jasper to invoke his statutory right. Jasper obtained expert legal guidance and was able to make a more informed judgement and handle with the matter and sell the property.
<h5>Havering case:</h5>
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In 2012 we were phoned by Mr and Mrs. S Laurent who, having bought a purpose-built flat in Havering in August 2007. The dilemma was if we could estimate the premium would likely be to extend the lease by a further 90 years. Similar homes in Havering with a long lease were worth £200,000. The average amount of ground rent was £50 collected every twelve months. The lease expired in 2104. Having 78 years outstanding we approximated the compensation to the landlord to extend the lease to be within £8,600 and £9,800 plus fees.
<div> <h5>Decision in Havering</h5>
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An example of a Lease Extension matter before the tribunal for a Havering premises is
37 Lodge Court High Street in November 2013. the decision of the LVT was that the premium to be paid for the new lease was £25,559
This case affected 1 flat. The remaining number of years on the lease was 57.5 years.
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