Top reasons for Hendon lease extension

Why you should commence your Hendon lease extension today:

A Hendon lease depreciates with the years remaining on the lease.

Hendon 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 the lease becomes more expensive. It is the case that most Hendon tenants have the right to extend their lease by an additional 90 years by virtue of the 1993 Leasehold Reform Act. If you are a leasehold owner in Hendon you really ought to see if your lease has between 70 and 90 years remaining. In particular once the remaining lease term slips under eighty years, the compensation to the landlord for any lease extension sharply increases as part of the premium you will incur is what is known as a marriage value

An extended lease has roughly the same value as a freehold

It is generally considered that a property with more than one hundred years remaining is worth approximately the equivalent as a freehold. Where an additional ninety years added to any lease with more than 35 years remaining, the premises will be worth the same as a freehold for many years ahead.

Lending institutions will not lend on a short lease

Why use us for your lease extension in Hendon?

Retaining our service will provide you increased control over the value of your Hendon leasehold, as your property will be more valuable and marketable in terms of lease length should you want to sell. The lawyers that we work with have a in-depth market knowledge handling many hundreds of lease extensions or freehold purchase transactions.

Hendon Lease Extension Case Summaries:

Austin, Hendon, North London,

Austin was the the leasehold owner of a 2 bedroom flat in Hendon being marketed with a lease of a few days over 72 years left. Austin on an informal basis approached his landlord being a well known Manchester-based freehold company and enquired on a premium to extend the lease. The freeholder indicated a willingness to grant an extension taking the lease to 125 years on the basis of a new rent initially set at £200 per annum and doubled every 25 years thereafter. No ground rent would be due on a lease extension were Austin to invoke his statutory right. Austin obtained expert advice and was able to make a more informed judgement and deal with the matter and ending up with a market value flat.

Hendon case:

Dr K Sharif completed a purpose-built apartment in Hendon in September 2011. We are asked if we could approximate the price would likely be to prolong the lease by a further 90 years. Comparable residencies in Hendon with a long lease were valued around £205,000. The mid-range amount of ground rent was £50 billed monthly. The lease ran out on 17 January 2105. Considering the 79 years left we calculated the premium to the landlord to extend the lease to be between £8,600 and £9,800 not including costs.