Why you should commence your Mill Hill lease extension

Top reasons for lease extension now:

A Mill Hill lease depreciates with the years remaining on the lease.

Mill Hill leases on residential properties are gradually decreasing in value. The shorter the remaining lease term becomes, the less it is worth – and accordingly any extension of your lease becomes more expensive. It is the case that most Mill Hill tenants have the right to extend their lease by an additional ninety years under the 1993 Leasehold Reform Act. Where you are a leasehold owner in Mill Hill you really ought to see if your lease has between 70 and ninety years left. In particular once the remaining lease term slips under 80 years, the compensation to the landlord for any lease extension increases dramatically as part of the premium you will incur is what is known as a marriage value

Mill Hill property with a lease extension is almost the same value as a freehold

Leasehold properties in Mill Hill with more than one hundred years left on the lease are often regarded as a ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your premises. In such situations there is often little to be gained by purchasing the reversionary interest unless savings on ground rent and service charges justify it.

Lending institutions will not finance a property on a short lease

What makes us experts in Mill Hill lease extensions?

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

Mill Hill Lease Extension Example Cases:

Andrew, Mill Hill, North London

Last Winter Andrew, came precariously close to the eighty-year mark with the lease on his basement apartment in Mill Hill. Having purchased his flat two decades ago, the unexpired term was of little importance. Luckily, he became aware that he would soon be paying an inflated amount for Extending the lease. Andrew extended the lease just ahead of time in January. Andrew and the freeholder eventually settled on an amount of £5,000 . If he failed to meet the deadline, the sum would have increased by a minimum £1,150.

Mill Hill case:

In 2011 we were e-mailed by Mr and Mrs. W Rose who, having took over the lease of a first floor flat in Mill Hill in March 2007. The question was if we could estimate the compensation to the landlord would be to extend the lease by a further 90 years. Similar homes in Mill Hill with a long lease were valued about £200,000. The mid-range amount of ground rent was £50 collected yearly. The lease expired on 3 November 2103. Given that there were 77 years unexpired we estimated the premium to the freeholder for the lease extension to be between £8,600 and £9,800 not including costs.