Top reasons for Hoxton lease extension

Why you should commence your Hoxton lease extension today:

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

The rule of thumb is, all other factors being equal, the shorter the lease the more expensive the premium. Qualifying leaseholders in Hoxton can extend the lease for an additional 90 years under the 1993 Leasehold Reform Act. Please think carefully before delaying your Hoxton lease extension. Putting off the costs today simply increases the premium you will ultimately have to pay for a lease extension.

An extended lease has roughly the same value as a freehold

Leasehold properties in Hoxton with over one hundred years left on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your home. In such situations there is often little upside in buying the freehold unless savings on ground rent and maintenance charges justify it.

Banks and Building Societies may decide not to issue a mortgage on a short lease

Banks and building societies are really restricting their approach as regards to homes in Hoxton with short leases. For example you may find that their lending criteria are stricter and that they adjust interest rates depending on the unexpired lease term. Some may even refrain from lending completely, so where you needed to sell, your only options would be to find a cash buyer, or hope for the best at auction thus restricting your market.

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

Using our service gives you increased control over the value of your Hoxton leasehold, as your property will be more valuable and saleable in relation to the lease length should you decide to sell. The conveyancers that we work with are well versed in the legislation handling many hundreds of lease extensions or freehold purchase transactions.

Hoxton Lease Extension Example Cases:

Isabel, Hoxton, London,

In the wake of 9 months of protracted discussions with the freeholder of her one bedroom flat in Hoxton, Isabel started the lease extension process as the eighty year threshold was swiftly coming. The lease extension was concluded in September 2009. The landlord’s fees were kept to an absolute minimum.

Hoxton case:

Mr and Mrs. E Simon completed a purpose-built flat in Hoxton in March 2008. We are asked if we could estimate the compensation to the landlord would likely be for a ninety year lease extension. Comparable flats in Hoxton with a long lease were worth £208,600. The mid-range ground rent payable was £60 invoiced per annum. The lease ended in 2083. Having 57 years left we approximated the premium to the landlord for the lease extension to be between £30,400 and £35,200 not including expenses.