Why you should start your Henlow lease extension

Why you should commence your Henlow lease extension today:

Increase your lease and increase your Henlow property value

The value of Henlow leasehold residential property falls as the lease term becomes shorter and this will have an impact on its saleability. The expense of a lease extension can increase substantially once the remaining term is less than 80 years

Henlow property with a lease extension is almost the same value as a freehold

Leasehold residencies in Henlow with more than 100 years unexpired on the lease are often regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your property. In such situations there is often little upside in buying the freehold unless savings on ground rent and service charges warrant it.

Banks and Building Societies may decide not to issue a mortgage with a short lease

Whether or not the lease is be regarded as a short lease varies by mortgage company, yet mortgage lenders start to become concerned at around 75 years. This may cause difficulties as and when you wish to market or remortgage your property as it will be practically unmortgageable. You might have no imminent intention to sell but when you do your buyer will have to hold off for two years before being able to start the legal procedures for a lease extension.

What makes us experts in Henlow lease extensions?

The lawyers that we work with handle Henlow 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.

Henlow Lease Extension Example Cases:

Luke, Henlow, Bedfordshire

18 months ago Luke, came seriously near to the 80-year threshold with the lease on his first floor flat in Henlow. In buying his property two decades ago, the lease term was of minimal bearing. by good luck, it dawned on him that he would imminently be paying way over the odds for a lease extension. Luke was able to extend his lease just ahead of time last May. Luke and the freeholder eventually agreed on sum of £5,500 . If the lease had gone lower than 80 years, the sum would have escalated by at least £1,050.

Henlow case:

Last month we were phoned by Mr and Mrs. A Cook , who was assigned a lease of a garden apartment in Henlow in June 2010. The question was if we could approximate the compensation to the landlord would likely be to prolong the lease by ninety years. Similar properties in Henlow with a long lease were worth £230,800. The mid-range amount of ground rent was £60 billed annually. The lease ended in 2086. Taking into account 60 years unexpired we estimated the compensation to the freeholder for the lease extension to be between £24,700 and £28,600 exclusive of expenses.

Henlow case:

Last month we were called by Mr and Mrs. Y Harris , who bought a one bedroom apartment in Henlow in January 2010. The question was if we could shed any light on how much (roughly) premium would be to extend the lease by 90 years. Similar homes in Henlow with a long lease were worth £210,000. The average amount of ground rent was £50 billed every twelve months. The lease ended on 7 August 2106. Taking into account 80 years unexpired we calculated the premium to the landlord for the lease extension to be between £8,600 and £9,800 not including expenses.