Main reasons to commence your Tufnell Park lease extension

Top reasons for lease extension now:

A Tufnell Park lease depreciates with the years remaining on the lease.

Tufnell Park leases on residential properties are gradually decreasing in value. The shorter the remaining lease term becomes, the less it is worth – and accordingly any extension of the lease becomes more expensive. Legislation has been in place for sometime now allowing qualifying Tufnell Park residential leaseholders to extend the terms of long leases. Where you are a leasehold owner in Tufnell Park you would be well advised to investigate if your lease has between seventy and 90 years left. In particular once the remaining lease term slips under 80 years, the compensation to the landlord for any lease extension sharply increases as an element of the premium you will incur is what is known as a marriage value

Tufnell Park property with a lease extension has roughly the same value as a freehold

It is conventional wisdom that a property with in excess of one hundred years remaining is worth approximately the equivalent as a freehold. Where an additional 90 years added to any lease with more than 30 years unexpired, the property will be equivalent in value to a freehold for many years in the future.

Lending institutions will not grant a mortgage on a short lease

Almost all banks and building societies will not lend on a lease with less than 70 years remaining - although this varies from lender to lender. A buyer will no doubt encounter difficulties to obtain a mortgage and this will result in your Tufnell Park property becoming difficult to sell or remortgage.

Get in touch with one of our Tufnell Park lease extension solicitors or enfranchisement solicitors

Regardless of whether you are a tenant or a freeholder in Tufnell Park,the lease extension lawyers that we work with will always be willing to discuss any residential leasehold matters and offer you the benefit of their experience and the close ties they enjoy with Tufnell Park valuers.

Tufnell Park Lease Extension Example Cases:

Jude, Tufnell Park, North London

Two years ago Jude, started to get near to the 80-year threshold with the lease on his basement flat in Tufnell Park. Having bought his flat 19 years previously, the length of the lease was of little significance. Fortunately, he noticed he would soon be paying way over the odds for a lease extension. Jude extended the lease at the eleventh hour last March. Jude and the landlord who owned the flat above subsequently agreed on an amount of £6,000 . If he failed to meet the deadline, the sum would have become more exhorbitant by a minimum £850.

Tufnell Park case:

Last month we were called by Mrs Hannah Davies , who completed a one bedroom apartment in Tufnell Park in November 1996. The dilemma was if we could approximate the price would likely be to extend the lease by 90 years. Identical residencies in Tufnell Park with a long lease were worth £255,000. The average ground rent payable was £50 invoiced monthly. The lease expiry date was on 10 April 2096. Given that there were 70 years as a residual term we calculated the compensation to the landlord for the lease extension to be within £9,500 and £11,000 not including expenses.