Why you should commence your Waltham Forest lease extension

Why you should start your Waltham Forest lease extension today:

A Waltham Forest lease depreciates with the years remaining on the lease.

Waltham Forest leases on residential properties are gradually losing value. The shorter the remaining lease term becomes, the less it is worth – and as a result any extension of the lease gets more expensive. The majority of owners of residential leasehold property in Waltham Forest enjoy rights under legislation to extend the terms of their leases. If you are a leasehold owner in Waltham Forest you really ought to check if your lease has between 70 and ninety years left. In particular once the remaining lease term slips under eighty years, the amount payable for any lease extension increases dramatically as an element of the premium you pay is what is known as a marriage value

An extended lease has roughly the same value as a freehold

Leasehold premises in Waltham Forest with in excess of 100 years remaining on the lease are often regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your premises. In such situations there is often little to be gained by buying the reversionary interest unless savings on ground rent and service charges warrant it.

Mortgage lenders may decide not to issue a mortgage with a short lease

Whether or not the lease is be regarded as a short lease depends on the specific mortgage company, yet lending institutions start to become jittery at around 75 years. This will cause difficulties when you come to sell or refinance your flat as it will be effectively unmortgageable. Even though you may not have an imminent plan to sell but when you do your buyer must hold off for two years before they can exercise the right to a a lease extension.

What makes us experts in Waltham Forest lease extensions?

Engaging our service will provide you increased control over the value of your Waltham Forest leasehold, as your property will be more valuable and marketable in relation to the lease length should you decide to sell. The conveyancers that we work with are well versed in the legislation handling many hundreds of lease extensions or freehold purchase transactions.

Waltham Forest Lease Extension Case Summaries:

Dexter, Waltham Forest, North East London

Half a year ago Dexter, came precariously close to the 80-year threshold with the lease on his leasehold flat in Waltham Forest. In buying his flat 19 years previously, the lease term was of minimal concern. Thankfully, he noticed he needed to take steps soon on Extending the lease. Dexter extended the lease just under the wire in April. Dexter and the freeholder subsequently agreed on the final figure of £6,000 . If he failed to meet the deadline, the premium would have escalated by a minimum £1,025.

Waltham Forest case:

Dr U Miller moved into a one bedroom apartment in Waltham Forest in February 2012. The question was if we could estimate the price would likely be for a 90 year extension to my lease. Comparable residencies in Waltham Forest with a long lease were in the region of £233,200. The mid-range amount of ground rent was £60 invoiced monthly. The lease terminated on 1 September 2087. Taking into account 61 years unexpired we estimated the compensation to the landlord for the lease extension to be within £22,800 and £26,400 plus professional charges.