Top reasons for Hornsey lease extension

Why you should commence your Hornsey lease extension today:

Increase your lease and increase your Hornsey property value

Hornsey leases on domestic deteriorating in value. Where your lease has about ninety years left, you should start thinking about a lease extension. Eighty years is a significant number: when the remaining term of a lease drops below this level then you start paying an additional element called marriage value. Leasehold owners in Hornsey will mostly be legally entitled to a lease extension; however a solicitor should be able confirm your eligibility. In some circumstances you may not be entitled. There are also strict deadlines and procedures to follow once the process is triggered so it’s wise to be guided by a conveyancing solicitor during the process.

An extended lease has roughly the same value as a freehold

Leasehold residencies in Hornsey with over 100 years outstanding on the lease are often regarded as a ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your premises. In such situations there is often little upside in buying the reversionary interest unless savings on ground rent and maintenance charges justify it.

Lenders will not loan monies on 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 become concerned at around 75 years. This will cause difficulties once you wish to sell or refinance your flat as it will be effectively unmortgageable. You may have no imminent intention to sell but when you do your purchaser will have to wait 2 years before being able to exercise the right to a a lease extension.

Why use us for your lease extension in Hornsey?

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

Hornsey Lease Extension Example Cases:

Sam, Hornsey, North London

Last October Sam, started to get near to the 80-year threshold with the lease on his basement flat in Hornsey. In buying his flat two decades ago, the unexpired term was of no bearing. Fortunately, he realised he would soon be paying an escalated premium for a lease extension. Sam arranged for a lease extension at the eleventh hour last July. Sam and the landlord who owned the flat above subsequently settled on an amount of £5,500 . If he failed to meet the deadline, the amount would have increased by at least £1,150.

Hornsey case:

Last month we were approach by Mrs J Allen , who owned a studio flat in Hornsey in October 1998. We are asked if we could approximate the price could be to extend the lease by ninety years. Comparable premises in Hornsey with 100 year plus lease were worth £227,800. The mid-range amount of ground rent was £45 collected per annum. The lease end date was on 2 January 2091. Given that there were 65 years outstanding we calculated the compensation to the landlord to extend the lease to be between £13,300 and £15,400 exclusive of costs.