Top reasons for Stanmore lease extension

Why you should start your Stanmore lease extension today:

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

Owning a flat usually means owning a lease of the property, which has a finite term of years. your lease will usually be granted for a set period of time , ordinarily 99 or 125 years, although we have seen longer and shorter terms in Stanmore. Inevitably, the term of lease remaining shortens over time. This is often ignored and only raises itself as an issue when the property needs to be disposed of or refinanced. The fewer the years remaining the lower the value of the property and the more expensive it will be to obtain a lease extension. Eligible long lease owners in Stanmore have the right to extend the lease for an additional 90 years in accordance with statute. You should give due attention before putting off your Stanmore lease extension. Putting off that expense now likely increases the price you will eventually have to pay for a lease extension

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

It is conventional wisdom that a property with more than one hundred years unexpired lease term is worth roughly the same as a freehold. Where an further 90 years added to all but the shortest lease, the residence will be equivalent in value to a freehold for many years ahead.

Lending institutions may not lend on a short lease

Most banks have narrowed their lending criteria in recent years and borrowers are encountering difficulties in arranging finance or re-mortgage against flats with shorter lease terms, particularly under 75 years as they are considered to be unacceptable for lending purposes.

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

Regardless of whether you are a tenant or a landlord in Stanmore,the lease extension solicitors that we work with will always be happy to discuss any residential leasehold matters and offer you the benefit of their experience and the close ties they enjoy with Stanmore valuers.

Stanmore Lease Extension Case Summaries:

Austin, Stanmore, North West London

Last Winter Austin, started to get near to the eighty-year mark with the lease on his purpose- built flat in Stanmore. Having bought his home 18 years ago, the length of the lease was of minimal relevance. Fortunately, he noticed he would imminently be paying way over the odds for Extending the lease. Austin extended the lease just under the wire last April. Austin and the landlord in the end settled on sum of £6,000 . If the lease had dipped lower than eighty years, the amount would have escalated by at least £875.

Stanmore case:

Last Spring we were e-mailed by Mr and Mrs. S Petit , who bought a garden flat in Stanmore in July 1998. The question was if we could estimate the compensation to the landlord would be for a ninety year lease extension. Comparable flats in Stanmore with an extended lease were valued about £181,600. The mid-range amount of ground rent was £55 invoiced every twelve months. The lease lapsed on 25 October 2078. Taking into account 52 years unexpired we calculated the compensation to the freeholder for the lease extension to be within £30,400 and £35,200 not including expenses.