Why you should commence your Bowes Park lease extension

Main reasons to commence your Bowes Park lease extension today:

Increase your lease and increase your Bowes Park property value

Bowes Park leases on residential properties are gradually diminishing in value. The shorter the remaining lease term becomes, the less it is worth – and accordingly any extension of your lease gets more expensive. Most owners of residential leasehold property in Bowes Park enjoy rights under legislation to extend the terms of their leases. Where you are a leasehold owner in Bowes Park you really ought to see if your lease has between seventy and ninety years left. In particular once the remaining lease term slips under eighty years, the amount payable for any lease extension sharply increases as an element of the premium you pay is what is known as a marriage value

Bowes Park property with a lease extension is almost the same value as a freehold

It is generally considered that a residential leasehold with more than 100 years remaining is worth roughly the equivalent as a freehold. Where an additional 90 years added to all but the shortest lease, the residence will be equivalent in value to a freehold for decades to come.

Lenders may decide not to grant a mortgage on a short lease

The propensity since the credit crunch has been for mortgage companies to tighten lending criteria generally - this has extended to the types of security over which the mortgage is to be granted. This has resulted in the minimum number of years remaining under the lease required by lenders has increased. Historically banks were content with twenty years plus the term of the loan - routinely fifty year leases but those requirements evolved by the requirement for longer and longer leases - many use a minimum term of 75 years as standard.

What makes us experts in Bowes Park lease extensions?

Retaining our service will provide you better control over the value of your Bowes Park 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.

Bowes Park Lease Extension Example Cases:

Theo, Bowes Park, North London

In 2014 Theo, started to get close to the 80-year mark with the lease on his two bedroom flat in Bowes Park. Having purchased his home two decades ago, the length of the lease was of minimal concern. Fortunately, he realised he would imminently be paying an escalated premium for Extending the lease. Theo extended the lease at the eleventh hour in August. Theo and the freeholder subsequently settled on sum of £6,000 . If the lease had descended below 80 years, the sum would have gone up by a minimum £925.

Bowes Park case:

In 2009 we were e-mailed by Mrs Kirsty Bell who, having purchased a recently refurbished apartment in Bowes Park in October 2001. The dilemma was if we could estimate the compensation to the landlord would likely be for a ninety year extension to my lease. Comparative premises in Bowes Park with a long lease were in the region of £189,000. The average amount of ground rent was £55 billed per annum. The lease came to a finish in 2079. Taking into account 53 years outstanding we approximated the compensation to the freeholder for the lease extension to be within £28,500 and £33,000 not including costs.