Main reasons to commence your Rayners Lane lease extension

Why you should commence your Rayners Lane lease extension today:

A Rayners Lane leasehold property depreciates with the years remaining on the lease.

There is no doubt about it a leasehold property in Rayners Lane is a wasting asset as a result of the shortening lease. Where the lease has, more than 100 years remaining then this decrease may be negligible that being said there will become a stage when a lease has fewer than 80 years remaining as part of the premium you will incur is what is known as a marriage value. This could be significant. It is the primary logic behind why you should consider extending without delay. Many flat owners in Rayners Lane will qualify for this right; nevertheless a lawyer will be able to advise whether you qualify to extend your lease. In limited situations you may not qualify, the most frequent reason being that you have not been the owner of the property for two years.

Rayners Lane property with a lease extension is almost the same value as a freehold

Leasehold premises in Rayners Lane with more than one hundred years unexpired on the lease are often referred to as ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your property. In such situations there is often little upside in purchasing the freehold unless savings on ground rent and service charges merit it.

Mortgage lenders will not finance a property on a short lease

Lenders are tightening their criteria and many now require flats to have at least sixty if not seventy years left at the end of the mortgage. Considering plenty of flats in Rayners Lane were created in the 1950s, 1960s and 1970s as a result many now need to be extended if they wish to get a mortgage.

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

The lawyers that we work with procure Rayners Lane 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 lawyer we work with provide it.

Rayners Lane Lease Extension Example Cases:

Natasha, Rayners Lane, North West London,

Trailing unsuccessful negotiations with the landlord of her two bedroom flat in Rayners Lane, Natasha commenced the lease extension process just as the lease was approaching the all-important eighty-year mark. The legal work was finalised in June 2007. The landlord’s fees were restricted to a tad over 550 pounds.

Rayners Lane case:

Mr and Mrs. J Laurent bought a one bedroom flat in Rayners Lane in September 1997. We are asked if we could estimate the compensation to the landlord could be for a 90 year lease extension. Comparative homes in Rayners Lane with an extended lease were in the region of £171,800. The mid-range ground rent payable was £55 billed per annum. The lease elapsed in 2076. Having 50 years remaining we approximated the compensation to the landlord to extend the lease to be between £32,300 and £37,400 exclusive of costs.