Main reasons to commence your Covent Garden lease extension

Main reasons to start your Covent Garden lease extension today:

Increase your lease and increase your Covent Garden property value

Covent Garden leases on residential properties are gradually decreasing in value. The shorter the remaining lease term becomes, the less it is worth – and as a result any extension of your lease becomes more expensive. It is the case that most Covent Garden tenants have the right to extend their lease by an additional ninety years by virtue of the 1993 Leasehold Reform Act. If you are a leasehold owner in Covent Garden you would be well advised to investigate if your lease has between 70 and ninety years remaining. There are good reasons why a Covent Garden flat owner with a lease having around eighty years left should take steps to ensure that a lease extension is put in place without delay

Covent Garden property with a lease extension is almost the same value as a freehold

Leasehold residencies in Covent Garden with more than 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 upside in purchasing the reversionary interest unless savings on ground rent and estate charges merit it.

Lenders will not finance a property with a short lease

Nearly all banks and building societies insist on a lengthy amount of time remaining on any leasehold property before they will consider it as adequate security. Even if you don't require a mortgage, you should keep in mind that it is reasonable to assume that someone wanting to purchase your property in the future might well do, so in the event that they are not able to obtain a mortgage, then the value of your property will likely suffer. Since 2008 many mortgage lenders have increased the required minimum lease length that they are willing to grant a mortgage on

Why use us for your lease extension in Covent Garden?

Engaging our service will provide you better control over the value of your Covent Garden leasehold, as your property will be more valuable and marketable in respect of lease length should you want to sell. The conveyancing solicitors that we work with have a wealth of experience of handling many hundreds of lease extensions or freehold purchase transactions.

Covent Garden Lease Extension Case Studies:

Danielle, Covent Garden, London,

Following lengthy negotiations with the freeholder of her purpose-built flat in Covent Garden, Danielle initiated the lease extension process as the eighty year threshold was rapidly advancing. The transaction completed in March 2014. The freeholder’s charges were restricted to under 550 pounds.

Covent Garden case:

Last Spring we were called by Mrs Victoria Nelson , who completed a newly refurbished flat in Covent Garden in April 2007. The question was if we could shed any light on how much (approximately) premium would likely be for a ninety year lease extension. Similar properties in Covent Garden with a long lease were in the region of £290,000. The average ground rent payable was £60 collected monthly. The lease ran out on 10 November 2106. Taking into account 80 years remaining we approximated the premium to the landlord for the lease extension to be between £12,400 and £14,200 plus legals.