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 diminishing in value. The shorter the remaining lease term becomes, the less it is worth – and as a result any extension of your lease gets more expensive. It is the case that most Fitzrovia tenants have the right to extend their lease by an additional ninety years under the 1993 Leasehold Reform Act. If you are a leasehold owner in Fitzrovia you really ought to investigate if your lease has between seventy and 90 years remaining. In particular once the remaining lease term slips under 80 years, the amount payable for any lease extension increases dramatically as an element of the premium you pay is what is known as a marriage value

An extended lease is almost the same value as a freehold

It is conventional wisdom that a property with in excess of 100 years remaining is worth approximately the same 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 many years in the future.

Lending institutions may decide not to grant a mortgage on a short lease

Banks and building societies are tightening their criteria and a meaningful number now require flats to have a minimum of 60 if not 70 years remaining at the expiry of the mortgage. Given that a number of flats in Fitzrovia were created in the 1950s, 1960s and 1970s as a result many now need to be extended if they wish to obtain a mortgage.

Why use us for your lease extension in Fitzrovia?

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

Fitzrovia Lease Extension Example Cases:

Tyler, Fitzrovia, London

14 months ago Tyler, started to get close to the eighty-year threshold with the lease on his purpose- built apartment in Fitzrovia. In buying his home twenty years previously, the lease term was of no relevance. Fortunately, he recognised he would imminently be paying way over the odds for Extending the lease. Tyler arranged for a lease extension just ahead of time in January. Tyler and the freeholder ultimately settled on a premium of £6,000 . If the lease had descended lower than 80 years, the sum would have gone up by a minimum £1,000.

Fitzrovia case:

In 2014 we were called by Ms F Vincent who, having moved into a one bedroom apartment in Fitzrovia in January 2004. The question was if we could approximate the price could be to extend the lease by an additional years. Similar homes in Fitzrovia with 100 year plus lease were worth £183,600. The average ground rent payable was £65 collected quarterly. The lease ran out on 1 April 2083. Given that there were 57 years outstanding we calculated the compensation to the landlord for the lease extension to be within £28,500 and £33,000 not including expenses.