Why you should commence your Notting Hill lease extension

Top reasons for lease extension now:

A Notting Hill lease depreciates with the years remaining on the lease.

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 fixed period of time , ordinarily 99 or 125 years, although we have witnessed longer and shorter terms in Notting Hill. Inevitably, the period of lease remaining shortens over time. This may pass by relatively unnoticed when the property needs to be disposed of or refinanced. The fewer the years remaining the lower the value of the property and the more it will cost to extend the lease. Eligible leaseholders in Notting Hill have the right to extend the lease for an additional 90 years in accordance with legislation. Do give careful deliberation before putting off your Notting Hill lease extension. Holding off the cost now likely increases the price you will ultimately have to pay for a lease extension

An extended lease has roughly the same value as a freehold

Leasehold premises in Notting Hill with over 100 years remaining on the lease are sometimes referred to as ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your home. In such situations there is often little upside in buying the freehold unless savings on ground rent and maintenance charges justify it.

Lenders will not issue a mortgage with a short lease

The trend since 2008 has been for mortgage companies to tighten lending requirements across the board - this has extended to the property over which the home loan is to be granted. This has resulted in the unexpired lease term required by lenders has increased. Historically mortgage companies would grant a mortgage on a lease with twenty years plus the term of the loan - routinely fifty year leases but those requirements evolved by the requirement for longer and longer leases - many now have a minimum term of 75 years as a prerequisite.

What makes us experts in Notting Hill lease extensions?

Irrespective of whether you are a tenant or a landlord in Notting Hill,the lease extension lawyers that we work with will always be prepared to discuss any residential leasehold matters and offer you the benefit of their in-depth market knowledge and the close ties they enjoy with Notting Hill valuers.

Notting Hill Lease Extension Example Cases:

Callum, Notting Hill, West London

Last Christmas Callum, came critically close to the eighty-year mark with the lease on his basement apartment in Notting Hill. In buying his home 19 years previously, the unexpired term was of little importance. Luckily, he realised he would imminently be paying an inflated amount for Extending the lease. Callum extended the lease just ahead of time in April. Callum and the landlord who owned the flat above subsequently settled on sum of £6,000 . If he not met the deadline, the sum would have increased by a minimum £1,000.

Notting Hill case:

Last Spring we were approach by Mr and Mrs. I White , who moved into a purpose-built flat in Notting Hill in August 2012. We are asked if we could shed any light on how much (approximately) compensation to the landlord would be for a ninety year lease extension. Comparative premises in Notting Hill with 100 year plus lease were worth £290,000. The average amount of ground rent was £60 billed per annum. The lease expired in 2106. Given that there were 80 years left we estimated the premium to the freeholder to extend the lease to be within £12,400 and £14,200 plus expenses.