Main reasons to start your Clerkenwell lease extension

Main reasons to start your Clerkenwell lease extension today:

Increase your lease and increase your Clerkenwell property value

Clerkenwell leases on residential deteriorating in value. Where your lease has about 90 years left, you should start considering the need for a lease extension. It is important to recognise that it is that it is desirable for a lease extension to be in place before the term of the existing lease dips lower than 80 years - otherwise a higher amount will be due. Leasehold owners in Clerkenwell will mostly qualify for a lease extension; however a solicitor will confirm your eligibility. In some circumstances you may not qualify. There are also strict timetables and formalities to comply with once the process is triggered 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

Leasehold residencies in Clerkenwell with over 100 years left on the lease are sometimes referred to as ‘virtual freehold’. This is where the lease value the same as a freehold interest in your property. In such situations there is often little to be gained by buying the reversionary interest unless savings on ground rent and estate charges warrant it.

Lending institutions may not finance a property on a short lease

The definition of a short lease varies by mortgage company, yet banks and building societies start to become nervous at around 75 years. This will cause difficulties when you wish to market or remortgage your property as it will be effectively unmortgageable. You might have no immediate plan to sell but when you do your purchaser will have to wait two years before being able to exercise the right to a an extension to the lease.

What makes us experts in Clerkenwell lease extensions?

The conveyancers that we work with undertake Clerkenwell 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.

Clerkenwell Lease Extension Example Cases:

Amy, Clerkenwell, London,

Trailing protracted correspondence with the landlord of her first floor apartment in Clerkenwell, Amy commenced the lease extension process as the 80 year mark was fast advancing. The lease extension was finalised in September 2015. The landlord’s costs were restricted to less than 700 pounds.

Clerkenwell case:

Mrs Isabella Mercier bought a one bedroom apartment in Clerkenwell in October 2010. The dilemma was if we could approximate the price would be to prolong the lease by a further 90 years. Comparable premises in Clerkenwell with a long lease were worth £270,000. The average ground rent payable was £55 collected yearly. The lease finished on 7 March 2101. Having 75 years remaining we calculated the premium to the landlord for the lease extension to be between £9,500 and £11,000 plus costs.