Top reasons for Marylebone lease extension

Main reasons to start your Marylebone lease extension today:

A Marylebone leasehold property depreciates with the years remaining on the lease.

Marylebone 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 your lease becomes more expensive. It is the case that most Marylebone tenants have the right to extend their lease by an additional 90 years by virtue of the 1993 Leasehold Reform Act. Where you are a leasehold owner in Marylebone you would be well advised to see if your lease has between seventy and 90 years left. In particular once the remaining lease term slips under 80 years, the cost of any lease extension sharply increases as part of the premium you will incur is what is known as a marriage value

An extended lease is almost the same value as a freehold

It is generally considered that a property with in excess of 100 years unexpired lease term is worth approximately the equivalent as a freehold. Where an further 90 years added to any lease with more than 30 years remaining, the property will be worth the same as a freehold for many years in the future.

Lenders may decide not to loan monies on a short lease

Banks and building societies are tightening their criteria and a meaningful number now expect flats to have a minimum of 60 if not 70 years left once the mortgage has expired. Considering a number of flats in Marylebone were created in the fifties, sixties and seventies this means many now require lease extensions if they if they are to be mortgageable.

What makes us experts in Marylebone lease extensions?

The conveyancers that we work with procure Marylebone lease extensions and help protect your position. A lease extension can be arranged to be completed to coincide with a change of ownership so the costs of the lease extension are paid for using part of the sale proceeds. You really do need expert legal advice in this difficult and technical area of law. The lawyer we work with provide it.

Marylebone Lease Extension Case Summaries:

Jade, Marylebone, London,

Following protracted discussions with the landlord of her first floor flat in Marylebone, Jade initiated the lease extension process as the 80 year deadline was fast approaching. The transaction completed in June 2007. The freeholder’s charges were negotiated to slightly above 450 pounds.

Marylebone case:

Ms S Brown was assigned a lease of a one bedroom flat in Marylebone in May 2000. We are asked if we could estimate the price could be to extend the lease by an additional years. Similar flats in Marylebone with 100 year plus lease were in the region of £260,200. The mid-range amount of ground rent was £65 invoiced annually. The lease expiry date was in 2092. Having 66 years remaining we calculated the compensation to the landlord for the lease extension to be between £16,200 and £18,600 exclusive of costs.