Main reasons to start your Kew lease extension

Top reasons for lease extension now:

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

When it comes to domestic leasehold premises in Kew, you are in fact renting it for a certain amount of time. In recent years flat leases are usually granted for 99 years or 125. Even though this may appear like a long period of time, you may consider extending the lease sooner as opposed to later. The general rule is that the shorter the lease is the cost of extending the lease increases markedly especially when there are fewer than eighty years left. Leasehold owners in Kew with a lease nearing 81 years unexpired should seriously think of extending it without delay. Once the lease term has below eighty years outstanding, under the current statute the freeholder can calculate and charge a larger premium, based on a technical multiplication, known as “marriage value” which is payable.

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

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

Banks and Building Societies will not issue a mortgage on a short lease

Mortgage companies are really clamping down as regards to homes in Kew with short leases. For example you may find that their lending requirements are stricter and that they adjust interest rates depending on the unexpired lease term. Some may even refuse to lend completely, so where you needed to sell, your only options would be to find a cash purchaser, or try your luck at auction thus narrowing the number of potential purchasers.

What makes us experts in Kew lease extensions?

Regardless of whether you are a tenant or a landlord in Kew,the lease extension experts that we work with will always be happy to discuss any residential leasehold matters and offer you the benefit of their in-depth market knowledge and the close ties they enjoy with Kew valuers.

Kew Lease Extension Example Cases:

Charlie, Kew, South West London,

Charlie owned a conversion apartment in Kew on the market with a lease of a little over sixty years remaining. Charlie on an informal basis approached his landlord being a well known Manchester-based freehold company for a lease extension. The freeholder was prepared to give an extension on non-statutory terms taking the lease to 125 years subject to a new rent at the outset set at £200 per annum and doubled every twenty five years thereafter. Ordinarily, ground rent would not be payable on a lease extension were Charlie to invoke his statutory right. Charlie procured expert legal guidance and secured satisfactory resolution without resorting to tribunal and sell the property.

Kew case:

Last Spring we were contacted by Dr Amber Carter , who took over the lease of a garden apartment in Kew in March 2012. We are asked if we could shed any light on how much (approximately) premium would be to prolong the lease by an additional years. Similar residencies in Kew with 100 year plus lease were in the region of £290,000. The mid-range ground rent payable was £45 billed quarterly. The lease elapsed in 2099. Taking into account 73 years outstanding we approximated the compensation to the freeholder for the lease extension to be between £9,500 and £11,000 not including costs.