Main reasons to start your Old Ford lease extension

Top reasons for lease extension now:

A Old Ford lease depreciates with the years remaining on the lease.

Old Ford 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 the lease gets more expensive. It is the case that most Old Ford tenants have the right to extend their lease by an additional ninety years under the 1993 Leasehold Reform Act. Where you are a leasehold owner in Old Ford you really ought to see if your lease has between 70 and ninety years remaining. In particular once the remaining lease term slips under 80 years, the premium due on any lease extension increases dramatically as an element of the premium you will incur is what is known as a marriage value

Old Ford property with a lease extension is almost the same value as a freehold

Leasehold premises in Old Ford with over 100 years remaining on the lease are often referred to as ‘virtual freehold’. This is where the lease value the same as a freehold interest in your home. In such situations there is often little upside in buying the reversionary interest unless savings on ground rent and maintenance charges justify it.

Lending institutions may decide not to issue a mortgage on a short lease

The propensity since the credit crunch has been for banks 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 banks has increased. Historically banks were content with twenty years plus the term of the loan - typically 50 year leases but those requirements are being increasingly undermined by the requirement for longer and longer leases - many use a minimum term of 75 years as standard.

What makes us experts in Old Ford lease extensions?

Lease extensions in Old Ford can be a difficult process. We recommend you secure guidance from a conveyancing solicitor and surveyor well versed in the legislation and lease extension process.

We provide you with an expert from a selection of lease extension solicitors, which ensures a targeted and efficient service as you have a dedicated port of call with an individual lawyer. Our lease extension solicitors have in-depth market knowledge procuring Old Ford lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.

Old Ford Lease Extension Example Cases:

Jennifer, Old Ford, London,

After lengthy correspondence with the landlord of her basement apartment in Old Ford, Jennifer initiated the lease extension process just as the lease was approaching the all-important eighty-year threshold. The legal work completed in September 2007. The freeholder’s charges were restricted to less than 600 GBP.

Old Ford case:

Last Christmas we were phoned by Mr N Watson , who acquired a first floor flat in Old Ford in September 1998. The question was if we could approximate the compensation to the landlord would be for a 90 year lease extension. Similar properties in Old Ford with a long lease were worth £176,200. The average ground rent payable was £65 collected every twelve months. The lease ended on 27 October 2082. Given that there were 56 years unexpired we estimated the premium to the landlord for the lease extension to be within £29,500 and £34,000 not including expenses.