Why you should start your Highgate lease extension

Top reasons for lease extension now:

Increase your lease and increase your Highgate property value

Highgate leases on residential properties are gradually diminishing in value. The shorter the remaining lease term becomes, the less it is worth – and accordingly any extension of your lease becomes more expensive. Legislation has been in place for sometime now which entitles qualifying Highgate residential leaseholders to extend the terms of long leases. If you are a leasehold owner in Highgate you really ought to check if your lease has between seventy and ninety 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 has roughly the same value as a freehold

It is conventional wisdom that a residential leasehold with over one hundred years unexpired lease term is worth approximately the same as a freehold. Where an further 90 years added to all but the shortest lease, the property will be equivalent in value to a freehold for many years ahead.

Mortgage lenders may not loan monies with a short lease

Most high street banks are tightening their criteria and many now require flats to have a minimum of 60 if not 70 years remaining at the end of the mortgage. As plenty of flats in Highgate were created in the 1950s, 1960s and 1970s as a result many now require lease extensions if they wish to obtain a mortgage.

Why use us for your lease extension in Highgate?

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

Highgate Lease Extension Example Cases:

Benjamin, Highgate, North London,

Benjamin was the the leasehold proprietor of a high value apartment in Highgate being sold with a lease of a little over fifty eight years remaining. Benjamin on an informal basis contacted his landlord a well known Bristol-based freehold company for a lease extension. The freeholder indicated a willingness to extend the lease to 125 years on the basis of a new rent to start with set at £150 per annum and increase every twenty five years thereafter. Ordinarily, ground rent would not be payable on a lease extension were Benjamin to invoke his statutory right. Benjamin obtained expert legal guidance and was able to make a more informed judgement and deal with the matter and readily saleable.

Highgate case:

Dr Eliot Ali took over the lease of a one bedroom flat in Highgate in October 2006. The dilemma was if we could estimate the premium would be to prolong the lease by an additional years. Comparative flats in Highgate with a long lease were in the region of £210,600. The average amount of ground rent was £45 billed quarterly. The lease elapsed in 2088. Taking into account 62 years outstanding we calculated the premium to the freeholder to extend the lease to be between £18,100 and £20,800 not including expenses.