Main reasons to commence your Hackney lease extension

Why you should commence your Hackney lease extension today:

Increase your lease and increase your Hackney property value

The rule of thumb is, all other factors being equal, the shorter the lease the more expensive the premium. Qualifying leaseholders in Hackney have the legal entitlement to extend the lease for an additional ninety years in accordance with statute. Do think carefully before delaying your Hackney lease extension. Putting off the costs today simply increases the amount you will eventually have to pay for a lease extension.

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

It is conventional wisdom that a property with in excess of one hundred years remaining is worth roughly the same as a freehold. Where an additional 90 years added to all but the shortest lease, the residence will be equivalent in value to a freehold for decades to come.

Lenders may decide not to loan monies with a short lease

Nearly all mortgage lenders will be unwilling to grant a mortgage on a lease with under 70 years unexpired - although this varies between mortgage companies. A buyer will no doubt encounter difficulties to obtain a mortgage and this will result in your Hackney property becoming difficult to sell or remortgage.

What makes us experts in Hackney lease extensions?

The conveyancers that we work with undertake Hackney 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.

Hackney Lease Extension Example Cases:

Eli, Hackney, London

Half a year ago Eli, started to get close to the eighty-year threshold with the lease on his garden flat in Hackney. In buying his flat two decades ago, the unexpired term was of minimal relevance. As luck would have it, he recognised he needed to take steps soon on Extending the lease. Eli arranged for a lease extension at the eleventh hour in April. Eli and the landlord who owned the flat above eventually settled on sum of £6,000 . If he had missed the deadline, the price would have gone up by a minimum £950.

Hackney case:

In 2012 we were phoned by Dr A Kelly who, having acquired a basement flat in Hackney in August 1998. The question was if we could estimate the premium would be to extend the lease by an additional years. Identical homes in Hackney with 100 year plus lease were in the region of £216,000. The mid-range amount of ground rent was £60 collected monthly. The lease expiry date was in 2083. Given that there were 58 years remaining we estimated the premium to the landlord to extend the lease to be within £28,500 and £33,000 plus costs.