Main reasons to commence your Southgate lease extension

Main reasons to commence your Southgate lease extension today:

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

Southgate leases on residential properties are gradually losing value. Where your lease has approximately ninety years unexpired, you should start considering the need for a lease extension. If lease term falls under eighty years, you will then be required to pay half of the property's 'marriage value' on top of the usual cost of the lease extension to the landlord. Marriage value is the amount of extra value that a lease extension will add to the property. Flat owners in Southgate will mostly be legally entitled to a lease extension; however It would be wise to check with a conveyancer to check your eligibility. In certain situations you may not be entitled. There are prescribed deadlines and procedures to comply with once the process is initiated so it’s wise to be guided by a conveyancer during the process.

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

Leasehold residencies in Southgate with over 100 years left on the lease are sometimes referred to as ‘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 purchasing the reversionary interest unless savings on ground rent and maintenance charges warrant it.

Lenders may decide not to loan monies with a short lease

The definition of a short lease varies by mortgage company, yet mortgage lenders start to get jittery at around 75 years. This may cause difficulties as and when you come to dispose of or remortgage your flat as it will be effectively unmortgageable. Even though you might not have an immediate desire to sell but when you do your buyer will have to wait two years before being able to start the legal procedures for a lease extension.

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

Using our service will provide you better control over the value of your Southgate leasehold, as your property will be more valuable and marketable in relation to the lease length should you decide to sell. The conveyancers that we work with have a in-depth market knowledge handling many hundreds of lease extensions or freehold purchase transactions.

Southgate Lease Extension Case Studies:

Victoria, Southgate, North London,

After lengthy discussions with the landlord of her purpose-built flat in Southgate, Victoria started the lease extension process as the eighty year mark was swiftly nearing. The lease extension was concluded in April 2015. The landlord’s fees were negotiated to below 450 GBP.

Southgate case:

Last Summer we were contacted by Dr K Thompson , who bought a one bedroom apartment in Southgate in September 1998. We are asked if we could approximate the premium could be for a 90 year lease extension. Identical flats in Southgate with a long lease were worth £260,200. The mid-range amount of ground rent was £65 collected quarterly. The lease ran out on 6 September 2092. Taking into account 66 years remaining we approximated the premium to the landlord for the lease extension to be within £16,200 and £18,600 plus fees.