Why you should commence your Harmondsworth lease extension

Main reasons to start your Harmondsworth lease extension today:

A Harmondsworth leasehold property depreciates with the years remaining on the lease.

It’s an underpublicised truth that a Harmondsworth residential lease is a deteriorating asset. The lease value reduces in proportion to its lease length. The extent of this is not fully appreciated in the first few years due to the depreciation being disguised by increases in the Harmondsworth property prices.Where your lease has approximately ninety years left, you should start thinking about a lease extension. An important point to note is that it is desirable for lease extension to take place before the term of the existing lease falls lower than eighty years - otherwise a higher premium will be due. The majority of flat owners in Harmondsworth will be able to extend under the legislation; however a conveyancer should be able to confirm whether you are eligibility. In some cases you may not be entitled. There are also strict timetables and procedures to follow once the process has commenced and you will need to be guided by your conveyancing solicitor for the duration of the formalities.

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

Leasehold residencies in Harmondsworth with more than one hundred years unexpired on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your home. In such circumstances there is often little upside in buying the freehold unless savings on ground rent and maintenance charges warrant it.

Lending institutions will not grant a mortgage on a short lease

Nearly all mortgage companies insist on a lengthy amount of time left on any leasehold residence before they will consider providing a mortgage on it. Even if you don't need a mortgage, you should be aware that it is likely that someone wishing to acquire your property in the future might well do, so where they are unable to secure a mortgage, then the value of your property could suffer. Since 2008 the majority of banks and building societies have increased the required minimum lease length that they are prepared to accept

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

Regardless of whether you are a tenant or a freeholder in Harmondsworth,the lease extension solicitors that we work with will always be prepared to discuss any residential leasehold matters and offer you the benefit of their in-depth market knowledge and the close ties they enjoy with Harmondsworth valuers.

Harmondsworth Lease Extension Case Studies:

Leon, Harmondsworth, West London,

Leon owned a studio apartment in Harmondsworth on the market with a lease of a few days over 59 years left. Leon informally spoke with his freeholder being a well known local-based freehold company for a lease extension. The freeholder indicated a willingness to grant an extension taking the lease to 125 years on the basis of an increased rent to £100 annually. No ground rent would be payable on a lease extension were Leon to exercise his statutory right. Leon procured expert advice and was able to make a more informed decision and deal with the matter and ending up with a market value flat.

Harmondsworth case:

In 2010 we were phoned by Dr Olivia Ramírez who, having purchased a one bedroom flat in Harmondsworth in April 2007. The question was if we could approximate the premium could be for a ninety year extension to my lease. Comparable residencies in Harmondsworth with a long lease were valued about £295,000. The mid-range ground rent payable was £50 collected yearly. The lease terminated in 2101. Considering the 75 years outstanding we estimated the premium to the landlord to extend the lease to be between £8,600 and £9,800 plus legals.