Main reasons to start your Osterley lease extension

Why you should start your Osterley lease extension today:

Increase your lease and increase your Osterley property value

With a residential leasehold property in Osterley, you effectively rent it for a certain amount of time. Modern flat leases are usually granted for 99 years or 125. Even though this may appear like a lengthy period of time, you may consider a lease extension sooner rather than later. Accepted thinking is that the shorter the number of years is the cost of extending the lease increases markedly particularly once there are fewer than 80 years left. Leasehold owners in Osterley with a lease drawing near to 81 years unexpired should seriously consider extending it sooner than later. When the lease term has under eighty years remaining, under the relevant Act the freeholder is entitled to calculate and charge a larger premium, based on a technical calculation, strangely termed as “marriage value” which is payable.

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

Leasehold residencies in Osterley with more than one hundred years remaining on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your home. In such situations there is often little to be gained by purchasing the reversionary interest unless savings on ground rent and service charges justify it.

Lenders will not issue a mortgage on a short lease

Many mortgage companies will be unwilling to grant a mortgage on a lease with less than 70 years remaining - although this varies from lender to lender. A purchaser will likely encounter difficulties in obtaining a mortgage and this will result in your Osterley property being difficult to dispose of or refinance.

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

Lease extensions in Osterley can be a difficult process. We recommend you procure guidance from a conveyancer and surveyor with experience in lease extensions.

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 dealing with Osterley lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.

Osterley Lease Extension Example Cases:

Henry, Osterley, North London,

Henry was the the leasehold owner of a high value flat in Osterley being marketed with a lease of just over 61 years unexpired. Henry on an informal basis approached his freeholder a well known London-based freehold company and enquired on a premium to extend the lease. The landlord was keen to give an extension on non-statutory terms taking the lease to 125 years subject to a rise in the rent to £50 annually. No ground rent would be due on a lease extension were Henry to exercise his statutory right. Henry obtained expert advice and secured satisfactory deal without resorting to tribunal and readily saleable.

Osterley case:

Mr and Mrs. D Martinez was assigned a lease of a studio flat in Osterley in September 2007. We are asked if we could shed any light on how much (approximately) compensation to the landlord would be for a 90 year lease extension. Similar flats in Osterley with an extended lease were valued around £200,800. The mid-range ground rent payable was £65 collected every twelve months. The lease ended on 26 February 2086. Considering the 60 years as a residual term we approximated the compensation to the freeholder to extend the lease to be between £20,900 and £24,200 not including expenses.