Top reasons for Seven Kings lease extension

Top reasons for lease extension now:

A Seven Kings leasehold property depreciates with the years remaining on the lease.

Owning a flat 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 prescribed period of time , ordinarily 99 or 125 years, although we have come across longer and shorter terms in Seven Kings. Clearly, the length of lease left reduces as time goes by. This is often ignored and only becomes a problem when the flat or house has to be sold or re-mortgaged. The fewer the years remaining the lower the value of the property and the more it will cost to obtain a lease extension. Eligible leaseholders in Seven Kings have the legal entitlement to extend the lease for a further 90 years under the 1993 Leasehold Reform Act. Please give due deliberation before putting off your Seven Kings lease extension. Holding off the cost now simply increases the price you will eventually incur for a lease extension

An extended lease is almost the same value as a freehold

Leasehold properties in Seven Kings with in excess of one hundred 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 property. In such situations there is often little upside in purchasing the freehold unless savings on ground rent and maintenance charges merit it.

Lenders will not grant a mortgage on a short lease

Lenders are tightening their criteria and many now want flats to have a minimum of 60 if not 70 years left at the expiry of the mortgage. Given that plenty of flats in Seven Kings were created in the fifties, sixties and seventies this means many now require lease extensions if they wish to get a mortgage.

What makes us experts in Seven Kings lease extensions?

Lease extensions in Seven Kings can be a difficult process. We recommend you get professional help from a conveyancing solicitor and surveyor well versed in the legislation and lease extension process.

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 a wealth of experience dealing with Seven Kings lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.

Seven Kings Lease Extension Case Summaries:

James, Seven Kings, North East London,

James was the the leasehold proprietor of a studio apartment in Seven Kings being sold with a lease of a few days over sixty years left. James informally contacted his freeholder being a well known London-based freehold company and enquired on a premium to extend the lease. The freeholder indicated a willingness to grant an extension taking the lease to 125 years subject to a new rent at the outset set at £200 per annum and doubled every twenty five years thereafter. Ordinarily, ground rent would not be payable on a lease extension were James to invoke his statutory right. James obtained expert legal guidance and secured an acceptable deal without resorting to tribunal and ending up with a market value flat.

Seven Kings case:

In 2012 we were phoned by Dr E Rodríguez who, having owned a basement flat in Seven Kings in March 1995. The dilemma was if we could approximate the price would likely be for a ninety year extension to my lease. Identical homes in Seven Kings with a long lease were worth £173,800. The average amount of ground rent was £60 collected quarterly. The lease came to a finish in 2081. Having 55 years remaining we calculated the premium to the landlord for the lease extension to be between £31,400 and £36,200 not including professional charges.