Main reasons to commence your Stamford Hill lease extension

Top reasons for lease extension now:

A Stamford Hill leasehold property depreciates with the years remaining on the lease.

When it comes to residential leasehold property in Stamford Hill, you are actually buying an entitlement to live in a property for a prescribed time frame. These days flat leases typically tend to be for 99 years or 125. Even though this may appear like a long period of time, you should consider a lease extension sooner rather than later. The general rule is that the shorter the number of years is the cost of extending the lease increases markedly notably once there are less than eighty years remaining. Anyone in Stamford Hill with a lease nearing 81 years remaining should seriously think of extending it without delay. When the lease term has less than eighty years left, under the relevant statute the freeholder can calculate and demand a larger premium, assessed on a technical multiplication, known as “marriage value” which is due.

An extended lease is almost the same value as a freehold

It is generally considered that a property with over one hundred years unexpired lease term is worth approximately the same as a freehold. Where an additional 90 years added to any lease with more than 35 years left, the residence will be worth the same as a freehold for decades to come.

Banks and Building Societies will not loan monies on a short lease

The definition of a short lease depends on the specific mortgage company, yet banks and building societies start to get jittery at around 75 years. This will be problematic when you come to market or remortgage your property as it will be effectively unmortgageable. Even though you might not have an imminent desire to sell but when you do your buyer will have to hold off for 2 years before they can exercise the right to a an extension to the lease.

What makes us experts in Stamford Hill lease extensions?

The conveyancers that we work with handle Stamford Hill 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.

Stamford Hill Lease Extension Example Cases:

Robyn, Stamford Hill, London,

Following unsuccessful discussions with the freeholder of her one bedroom flat in Stamford Hill, Robyn started the lease extension process just as her lease was coming close to the crucial eighty-year mark. The legal work was finalised in March 2006. The freeholder’s costs were negotiated to approximately 450 pounds.

Stamford Hill case:

Last Christmas we were e-mailed by Mr and Mrs. D Morris , who moved into a purpose-built flat in Stamford Hill in October 2012. We are asked if we could shed any light on how much (approximately) compensation to the landlord would likely be for a 90 year extension to my lease. Comparable premises in Stamford Hill with 100 year plus lease were in the region of £285,000. The mid-range ground rent payable was £45 collected monthly. The lease terminated on 22 August 2097. Having 71 years as a residual term we approximated the premium to the freeholder to extend the lease to be within £12,400 and £14,200 plus professional charges.