Owning a apartment usually means owning a lease of the property, which has a set term of years. your lease will ordinarily be granted for a set period of time , ordinarily 99 or 125 years, although we have witnessed longer and shorter terms in North West London. Inevitably, the period of lease left shortens over time. This may slip by relatively unnoticed when the flat or house has to be disposed of or re-mortgaged. The shorter the lease the lower the value of the property and the more it will cost to extend the lease. Eligible leaseholders in North West London have the legal entitlement to extend the lease for an additional ninety years in accordance with legislation. Do give due deliberation before delaying your North West London lease extension. Holding off that expense now simply increases the price you will eventually have to pay for a lease extension
Leasehold properties in North West London with in excess of 100 years remaining 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 to be gained by buying the freehold unless savings on ground rent and estate charges warrant it.
| Lender | Requirement |
|---|---|
| Accord Mortgages | |
| Leeds Building Society | |
| National Westminster Bank | |
| Santander | |
| Royal Bank of Scotland |
Using our service will provide you enhanced control over the value of your North West London leasehold, as your property will be more valuable and saleable in relation to the lease length should you wish to sell. The conveyancers that we work with have a wealth of experience of handling many hundreds of lease extensions or freehold purchase transactions.
Aarav was the the leasehold proprietor of a studio apartment in North West London on the market with a lease of a few days over 59 years left. Aarav on an informal basis approached his landlord a well known Bristol-based freehold company and enquired on a premium to extend the lease. The freeholder was prepared to grant 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 increase every twenty five years thereafter. Ordinarily, ground rent would not be due on a lease extension were Aarav to exercise his statutory right. Aarav procured expert legal guidance and was able to make an informed decision and deal with the matter and readily saleable.
Last Winter we were called by Mr B Wood , who owned a garden apartment in North West London in January 2007. We are asked if we could approximate the premium would be to prolong the lease by 90 years. Identical premises in North West London with a long lease were worth £275,000. The mid-range amount of ground rent was £55 invoiced annually. The lease expiry date was on 9 June 2102. Considering the 76 years as a residual term we approximated the compensation to the freeholder to extend the lease to be within £9,500 and £11,000 not including professional charges.
Mr and Mrs. I Wilson completed a recently refurbished apartment in North West London in April 1997. We are asked if we could estimate the premium would be to extend the lease by 90 years. Comparative premises in North West London with 100 year plus lease were valued about £176,200. The mid-range ground rent payable was £65 invoiced yearly. The lease concluded on 21 April 2082. Considering the 56 years outstanding we approximated the compensation to the freeholder to extend the lease to be between £29,500 and £34,000 not including expenses.