Main reasons to start your North Finchley lease extension

Top reasons for lease extension now:

Increase your lease and increase your North Finchley property value

It’s an underpublicised truth that a North Finchley residential lease is a deteriorating asset. The lease value reduces in proportion to its lease length. The extent of this is not fully appreciated in the first few years due to the loss of value being disguised by increases in the North Finchley property prices.Where your lease has approximately ninety years left, you need to start thinking about a lease extension. If lease term drops under 80 years, you will end up paying half of the property's 'marriage value' in addition to the usual cost of the lease extension to the landlord. The marriage fee is the amount of extra value that a lease extension will add the property Most flat owners in North Finchley will be able to extend under the legislation; however a conveyancer will be able to clarify if you are eligibility. In some situations you may not be entitled. There are also strict deadlines and procedures to be adhered to once the process is instigated and you will need to be guided by your conveyancer throughout the process.

An extended lease has roughly the same value as a freehold

Leasehold residencies in North Finchley with more than one hundred 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 property. In such situations there is often little upside in purchasing the reversionary interest unless savings on ground rent and estate charges warrant it.

Mortgage lenders will not lend on a short lease

Mortgage lenders have set criteria when loaning funds charged on leasehold homes. Some will simply refuse lend at all once the remaining lease term slips below a specified unexpired lease term. Many Lending institutions will not regard property with an unexpired term of less than 75 years as acceptable security. In addition to this being important when selling, it is also relevant if you are seeking to remortgage your North Finchley property.

What makes us experts in North Finchley lease extensions?

The conveyancing solicitors that we work with handle North Finchley 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.

North Finchley Lease Extension Case Summaries:

Lydia, North Finchley, North London,

Following lengthy discussions with the landlord of her one bedroom flat in North Finchley, Lydia commenced the lease extension process as the eighty year deadline was fast approaching. The transaction was concluded in March 2006. The freeholder’s charges were restricted to a tad over 450 pounds.

North Finchley case:

Last Spring we were approach by Mrs Mollie Roux , who acquired a studio apartment in North Finchley in October 2003. The dilemma was if we could shed any light on how much (approximately) compensation to the landlord would be to extend the lease by a further 90 years. Similar premises in North Finchley with an extended lease were in the region of £240,600. The mid-range ground rent payable was £60 invoiced monthly. The lease came to a finish on 14 February 2088. Having 62 years unexpired we calculated the premium to the freeholder for the lease extension to be within £21,900 and £25,200 not including costs.