Why you should commence your Bowes Park lease extension

Main reasons to start your Bowes Park lease extension today:

Increase your lease and increase your Bowes Park property value

For those whose Bowes Park flat is held on a long lease, our message is clear – if nothing is done, your property will eventually revert to the freeholder, leaving you empty-handed. The fewer the years remaining the less it is worth and the more expensive it will be to obtain a lease extension.

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

It is generally accepted that a property with more than one hundred years unexpired lease term is worth roughly the equivalent as a freehold. Where an further ninety years added to any lease with more than 45 years left, the property will be equivalent in value to a freehold for many years in the future.

Lenders will not issue a mortgage on a short lease

The trend since over the last decade has been for banks to tighten lending criteria generally - this has extended to the property over which the home loan is to be charged. This has resulted in the minimum number of years remaining under the lease required by mortgage companies has increased. Historically lenders would lend on a lease with 25 years plus the term of the loan - typically fifty year leases but those requirements are being increasingly undermined by the requirement for lengthy leases - many use a minimum term of 75 years as a prerequisite.

What makes us experts in Bowes Park lease extensions?

The conveyancing solicitors that we work with procure Bowes Park 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 conveyancing solicitor we work with provide it.

Bowes Park Lease Extension Case Studies:

Theo, Bowes Park, North London

In 2014 Theo, came critically close to the 80-year mark with the lease on his one bedroom flat in Bowes Park. Having bought his flat two decades ago, the lease term was of little relevance. As luck would have it, he noticed he would soon be paying an inflated amount for a lease extension. Theo extended the lease just ahead of time in July. Theo and the freeholder subsequently agreed on an amount of £5,500 . If he failed to meet the deadline, the premium would have become more costly by a minimum £1,075.

Bowes Park case:

Last Spring we were phoned by Mr and Mrs. U Taylor , who completed a first floor flat in Bowes Park in June 2011. The question was if we could shed any light on how much (approximately) compensation to the landlord would likely be to prolong the lease by 90 years. Comparative properties in Bowes Park with 100 year plus lease were valued about £285,000. The mid-range amount of ground rent was £45 invoiced yearly. The lease concluded in 2098. Having 72 years as a residual term we approximated the premium to the landlord to extend the lease to be within £12,400 and £14,200 not including legals.