Why you should commence your Borehamwood lease extension

Main reasons to commence your Borehamwood lease extension today:

Increase your lease and increase your Borehamwood property value

Borehamwood leases on residential deteriorating in value. Where your lease has in the region of ninety years unexpired, you should start thinking about a lease extension. 80 years is a significant number: when the unexpired term of a lease falls below this level then you begin paying an additional element called marriage value. Flat owners in Borehamwood will usually qualify for a lease extension; however It would be wise to check with a lawyer to check if you qualify. In certain situations you may not be entitled. There are prescribed deadlines and procedures to follow once the process has started so it’s prudent to be guided by a conveyancing solicitor during the process.

An extended lease has roughly the same value as a freehold

It is conventional wisdom that a residential leasehold with more than 100 years remaining is worth roughly the equivalent as a freehold. Where an further ninety years added to all but the shortest lease, the property will be equivalent in value to a freehold for decades to come.

Lenders may decide not to lend with a short lease

Many banks and building societies will be unwilling to lend on a lease with under 70 years unexpired - although this varies between mortgage companies. A purchaser will undoubtedly find it difficult in obtaining a mortgage and this could result in your Borehamwood property becoming difficult to dispose of or to obtain finance on.

What makes us experts in Borehamwood lease extensions?

Irrespective of whether you are a tenant or a freeholder in Borehamwood,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 experience and the close ties they enjoy with Borehamwood valuers.

Borehamwood Lease Extension Example Cases:

Mason, Borehamwood, Hertfordshire,

Mason owned a high value flat in Borehamwood on the market with a lease of a little over 72 years unexpired. Mason informally contacted his freeholder being a well known Bristol-based freehold company for a lease extension. The freeholder indicated a willingness to grant an extension taking the lease to 125 years on the basis of a rise in the rent to £125 per annum. Ordinarily, ground rent would not be payable on a lease extension were Mason to exercise his statutory right. Mason procured expert advice and was able to make an informed decision and deal with the matter and readily saleable.

Borehamwood case:

In 2009 we were e-mailed by Mr U Bernard who, having acquired a garden flat in Borehamwood in July 2011. The question was if we could approximate the compensation to the landlord would likely be to prolong the lease by ninety years. Identical premises in Borehamwood with a long lease were valued about £218,000. The mid-range amount of ground rent was £45 invoiced quarterly. The lease terminated in 2089. Taking into account 63 years outstanding we approximated the compensation to the freeholder for the lease extension to be within £17,100 and £19,800 plus expenses.