Why you should commence your Tottenham lease extension

Top reasons for lease extension now:

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

With a domestic leasehold premises in Tottenham, you are actually buying an entitlement to live in a property for a set period of time. These days flat leases are usually granted for 99 years or 125. Even though this may appear like a long period of time, you should think about extending the lease sooner as opposed to later. The general rule is that the shorter the lease is the cost of extending the lease becomes disproportionately more expensive especially when there are less than 80 years left. Residents in Tottenham with a lease nearing 81 years remaining should seriously consider extending it sooner as opposed to later. Once a lease has fewer than 80 years remaining, under the relevant Act the landlord can calculate and demand a greater premium, assessed on a technical computation, strangely termed as “marriage value” which is due.

An extended lease is almost the same value as a freehold

It is conventional wisdom that a residential leasehold with in excess of one hundred years unexpired lease term is worth approximately the same as a freehold. Where an additional 90 years added to any lease with more than 45 years left, the residence will be equivalent in value to a freehold for many years in the future.

Lending institutions may not issue a mortgage with a short lease

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

Irrespective of whether you are a tenant or a landlord in Tottenham,the lease extension experts that we work with will always be willing to discuss any residential leasehold matters and offer you the benefit of their in-depth market knowledge and the close ties they enjoy with Tottenham valuers.

Tottenham Lease Extension Example Cases:

Edward, Tottenham, North London,

Edward was the the leasehold owner of a high value apartment in Tottenham on the market with a lease of a few days over fifty eight years left. Edward on an informal basis contacted his freeholder being a well known Manchester-based freehold company for a lease extension. The landlord indicated a willingness to extend the lease to 125 years on the basis of a rise in the rent to £100 per annum. No ground rent would be payable on a lease extension were Edward to exercise his statutory right. Edward procured expert advice and was able to make a more informed decision and handle with the matter and ending up with a market value flat.

Tottenham case:

In 2014 we were called by Mr and Mrs. S Young who, having owned a purpose-built flat in Tottenham in March 2003. We are asked if we could estimate the price would likely be to extend the lease by 90 years. Comparative homes in Tottenham with a long lease were worth £256,600. The mid-range ground rent payable was £60 invoiced per annum. The lease came to a finish on 15 October 2078. Given that there were 52 years remaining we estimated the compensation to the landlord to extend the lease to be between £39,000 and £45,000 exclusive of expenses.