Main reasons to commence your Highgate lease extension
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Main reasons to commence your Highgate lease extension today:
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Increase your lease and increase your <a href="http://www.lendermonitor.com/conveyancing/loc/highgate">Highgate</a> property value </h4>
<p> Owning a apartment usually means owning a lease of the property, this is a ‘time-limited’ interest becoming shorter every day. your lease will normally be granted for a fixed period of time , usually 99 or 125 years, although we have come across longer and shorter terms in Highgate. Inevitably, the length of lease left shortens as time goes by. This may pass by relatively unnoticed when the residence has to be disposed of or re-mortgaged. The shorter the lease the less it is worth and the more expensive it will be to extend the lease. Eligible leaseholders in Highgate have the legal entitlement to extend the lease for a further 90 years under the 1993 Leasehold Reform Act. You should give due deliberation before putting off your Highgate lease extension. Holding off the cost now only increases the price you will eventually have to pay for a lease extension <h4>Highgate property with a lease extension has roughly the same value as a freehold</h4>
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Leasehold properties in Highgate with in excess of 100 years unexpired on the lease are often regarded as a ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your premises. In such situations there is often little to be gained by purchasing the reversionary interest unless savings on ground rent and estate charges merit it. <h4>Lending institutions will not grant a mortgage on a short lease</h4> Lenders will not lend on short residential leases. You most probably experience problems if you wish to sell your flat in Highgate if the remaining term of your lease is under the criteria set by most mortgage companies. Different mortgage companies have different criteria but generally theyrequire an unexpired term of at least seventy years.
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<tr><th>Lender</th>
<th> Requirement
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<td>Bank of Scotland</td>
<td> Minimum 70 years from the date of the mortgage.
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<td>Barnsley Building Society</td>
<td> 60 years from the date of the mortgage application subject to 35 years remaining at the end of the mortgage term.
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<td>Halifax</td>
<td> Minimum 70 years from the date of the mortgage.
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<td>Royal Bank of Scotland</td>
<td> Mortgage term plus 30 years.
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<td>Yorkshire 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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<h4> Get in touch with one of our Highgate lease extension solicitors or enfranchisement solicitors
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Lease extensions in Highgate can be a difficult process. We recommend you get professional help from a conveyancer and valuer well versed in the legislation and lease extension process.
<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 Highgate 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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Highgate Lease Extension Case Summaries:
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<h5> Jack, Highgate, North London,</h5>
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Jack owned a studio apartment in Highgate on the market with a lease of a few days over 61 years unexpired. Jack informally contacted his freeholder being a well known Bristol-based freehold company for a lease extension. The freeholder was keen to agree an extension on non-statutory terms taking the lease to 125 years on the basis of a rise in the rent to £100 yearly. No ground rent would be due on a lease extension were Jack to invoke his statutory right. Jack procured expert advice and secured satisfactory deal informally and ending up with a market value flat.
<h5>Highgate case:</h5>
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Last Spring we were approach by Mr and Mrs. K Carter , who
purchased a basement apartment in Highgate in March 2003. The dilemma was if we could estimate the price could be for a 90 year lease extension. Comparative homes in Highgate with a long lease were valued about £285,000. The mid-range ground rent payable was £55 invoiced monthly. The lease came to a finish on 17 February 2105. Having 79 years remaining we approximated the premium to the landlord for the lease extension to be between £13,300 and £15,400 plus legals.
<div> <h5>Decision in Haringey</h5>
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An example of a Lease Extension decision for a Highgate premises is
Flat 2A 19 Shepherds Hill in June 2014. The tribunal concluded in accordance with section 48 and schedule 13 of the Leasehold Reform,Housing and Urban Development Act (the 1993 Act) that the premium payable in respect of the grant of a new lease for the Flat be £24,303 (twenty four thousand three hundred and three pounds)
This case was in relation to 1 flat. The unexpired lease term was 67.85 years.
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