Why you should start your Golders Green lease extension

Why you should start your Golders Green lease extension today:

A Golders Green leasehold property depreciates with the years remaining on the lease.

Golders Green leases on residential properties are gradually diminishing in value. The shorter the remaining lease term becomes, the less it is worth – and as a result any extension of the lease becomes more expensive. Legislation has been in place for sometime now which permits qualifying Golders Green residential leaseholders to extend the terms of long leases. Where you are a leasehold owner in Golders Green you should check if your lease has between seventy and ninety years remaining. In particular once the remaining lease term slips under 80 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

Golders Green property with a lease extension is almost the same value as a freehold

It is generally accepted that a property with in excess of 100 years unexpired lease term is worth roughly the equivalent as a freehold. Where an further ninety years added to all but the shortest lease, the property will be equivalent in value to a freehold for many years ahead.

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

Mortgage companies do not like short residential leases. You are likely to encounter problems if you need to sell your flat in Golders Green if the unexpired lease term is under the criteria set by most lenders. Different mortgage companies have varying requirements but on the whole they are looking for an unexpired term of at least seventy years.

What makes us experts in Golders Green lease extensions?

The lawyers that we work with undertake Golders Green 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.

Golders Green Lease Extension Case Studies:

Ben, Golders Green, North London,

Ben was the the leasehold proprietor of a studio flat in Golders Green on the market with a lease of fraction over sixty years unexpired. Ben on an informal basis approached his freeholder a well known Bristol-based freehold company and enquired on a premium to extend the lease. The landlord was prepared to grant an extension on non-statutory terms taking the lease to 125 years on the basis of a new rent initially set at £150 per annum and doubled every twenty five years thereafter. Ordinarily, ground rent would not be payable on a lease extension were Ben to exercise his statutory right. Ben procured expert advice and was able to make an informed decision and deal with the matter and readily saleable.

Golders Green case:

Mr and Mrs. J Smith acquired a one bedroom flat in Golders Green in June 2012. The dilemma was if we could shed any light on how much (approximately) compensation to the landlord would be to extend the lease by 90 years. Comparable flats in Golders Green with a long lease were worth £257,800. The mid-range amount of ground rent was £65 billed every twelve months. The lease concluded in 2091. Considering the 65 years unexpired we estimated the premium to the freeholder for the lease extension to be between £18,100 and £20,800 not including professional charges.