Main reasons to commence your Kilburn lease extension

Top reasons for lease extension now:

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

Kilburn leases on residential deteriorating in value. if your lease has about 90 years remaining, you should start considering the need for a lease extension. 80 years is a significant number: when the unexpired term of a lease drops below this level then you begin paying an additional element called marriage value. Leasehold owners in Kilburn will usually qualify for a lease extension; however a solicitor will check if you qualify. In some circumstances you may not qualify. There are prescribed deadlines and steps to comply with once the process is initiated so it’s sensible to be guided by a conveyancing solicitor during the process.

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

Leasehold properties in Kilburn with in excess of one hundred years unexpired 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 to be gained by buying the reversionary interest unless savings on ground rent and maintenance charges merit it.

Lenders may not lend on a short lease

Lenders do not like short residential leases. You are likely to encounter difficulties where you want to sell your flat in Kilburn if the unexpired lease term is under the criteria set by the majority of banks and building societies. Different mortgage companies have different requirements but in the main they are looking for an unexpired term of at least 65 years.

What makes us experts in Kilburn lease extensions?

Regardless of whether you are a tenant or a freeholder in Kilburn,the lease extension experts 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 Kilburn valuers.

Kilburn Lease Extension Example Cases:

Jack, Kilburn, North London,

Jack owned a studio flat in Kilburn being sold with a lease of a little over 61 years unexpired. Jack informally contacted his freeholder being a well known Bristol-based freehold company for a lease extension. The freeholder was keen to grant an extension on non-statutory terms 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 Jack to exercise his statutory right. Jack procured expert advice and secured satisfactory resolution without going to tribunal and sell the property.

Kilburn case:

Last year we were approach by Ms Naomi James , who bought a first floor apartment in Kilburn in October 2004. We are asked if we could estimate the price could be for a ninety year extension to my lease. Identical properties in Kilburn with an extended lease were worth £248,000. The mid-range amount of ground rent was £65 collected per annum. The lease finished on 21 October 2088. Taking into account 63 years unexpired we estimated the premium to the landlord for the lease extension to be between £20,900 and £24,200 not including professional charges.