Why you should start your Holborn lease extension

Why you should commence your Holborn lease extension today:

Increase your lease and increase your Holborn property value

The value of Holborn leasehold residential property falls as the lease term becomes shorter and this will have an impact on its saleability. The cost of a lease extension can increase substantially once the remaining term is less than eighty years

Holborn property with a lease extension has roughly the same value as a freehold

It is generally considered that a residential leasehold with more than one hundred years unexpired lease term is worth approximately the equivalent as a freehold. Where an further ninety years added to all but the shortest lease, the residence will be equivalent in value to a freehold for decades to come.

Lenders will not loan monies on a short lease

Most banks have constrained their lending criteria in recent years and borrowers are encountering difficulties in arranging funding or re-mortgage against property with shorter lease terms, particularly below 75 years as they are considered to be unacceptable security.

Why use us for your lease extension in Holborn?

Using our service gives you increased control over the value of your Holborn leasehold, as your property will be more valuable and saleable in respect of lease length should you wish to sell. The conveyancing solicitors that we work with are well versed in the legislation handling many hundreds of lease extensions or freehold purchase transactions.

Holborn Lease Extension Case Studies:

Hugo, Holborn, North London,

Hugo owned a conversion apartment in Holborn on the market with a lease of a little over 59 years unexpired. Hugo on an informal basis spoke with his freeholder being a well known Bristol-based freehold company and enquired on a premium to extend the lease. The landlord indicated a willingness to grant an extension taking the lease to 125 years on the basis of a new rent initially set at £100 per annum and doubled every twenty five years thereafter. No ground rent would be due on a lease extension were Hugo to invoke his statutory right. Hugo obtained expert legal guidance and was able to make a more informed decision and deal with the matter and sell the flat.

Holborn case:

In 2012 we were phoned by Dr O Ali who, having purchased a studio apartment in Holborn in August 2005. We are asked if we could shed any light on how much (approximately) compensation to the landlord could be for a 90 year extension to my lease. Similar homes in Holborn with 100 year plus lease were valued about £285,000. The average ground rent payable was £45 billed monthly. The lease finished in 2097. Considering the 71 years remaining we calculated the compensation to the freeholder for the lease extension to be within £12,400 and £14,200 plus expenses.