Top reasons for Fitzrovia lease extension

Main reasons to start your Fitzrovia lease extension today:

Increase your lease and increase your Fitzrovia property value

Fitzrovia leases on residential properties are gradually losing value. The shorter the remaining lease term becomes, the less it is worth – and accordingly any extension of the lease becomes more expensive. It is the case that most Fitzrovia 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 Fitzrovia you should see if your lease has between seventy and 90 years left. There are compelling reasons why a Fitzrovia leaseholder with a lease having around 80 years unexpired should take action to ensure that a lease extension is put in place without delay

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

Leasehold residencies in Fitzrovia with in excess of 100 years outstanding on the lease are sometimes referred to as ‘virtual freehold’. This is where the lease value the same as a freehold interest in your home. In such situations there is often little upside in purchasing the freehold unless savings on ground rent and maintenance charges merit it.

Mortgage lenders may not issue a mortgage with a short lease

Whether or not the lease is be regarded as a short lease depends on the specific mortgage company, yet lending institutions start to get nervous at around 75 years. This will be problematic once you wish to dispose of or remortgage your property as it will be practically unmortgageable. Even though you might not have an immediate desire to sell but when you do your purchaser must hold off for 2 years before being able to exercise the right to a a lease extension.

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

Engaging our service will provide you increased control over the value of your Fitzrovia leasehold, as your property will be more valuable and saleable in terms of lease length should you want to sell. The lawyers that we work with are well versed in the legislation handling many hundreds of lease extensions or freehold purchase transactions.

Fitzrovia Lease Extension Case Studies:

Cameron, Fitzrovia, London,

Cameron owned a studio apartment in Fitzrovia being marketed with a lease of a little over 72 years left. Cameron informally contacted his freeholder a well known local-based freehold company for a lease extension. The landlord indicated a willingness to extend the lease to 125 years on the basis of an increased rent to £50 annually. No ground rent would be payable on a lease extension were Cameron to invoke his statutory right. Cameron procured expert legal guidance and was able to make a more informed decision and handle with the matter and ending up with a market value flat.

Fitzrovia case:

Last Autumn we were contacted by Mr Y Sánchez , who owned a purpose-built apartment in Fitzrovia in March 2006. We are asked if we could estimate the compensation to the landlord could be to extend the lease by an additional years. Identical flats in Fitzrovia with an extended lease were in the region of £270,000. The average ground rent payable was £55 invoiced quarterly. The lease ran out in 2102. Having 76 years left we calculated the premium to the freeholder for the lease extension to be within £9,500 and £11,000 not including legals.