Top reasons for Teddington lease extension

Top reasons for lease extension now:

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

It’s an underpublicised truth that a Teddington residential lease is a deteriorating asset. The lease value reduces in proportion to its lease length. The extent of this is taken for granted in the first few years due to the deflation being disguised by increases in the Teddington property market.Where your lease has approximately 90 years left, you should start thinking about a lease extension. If the number of years remaining dips below eighty years, you will end up paying 50% of the property's 'marriage value' in addition to the usual cost of the lease extension to the landlord. The marriage fee is the amount of additional value that a lease extension will add the property Most flat owners in Teddington will be able to extend under the legislation; however a conveyancing solicitor should be able to clarify whether you qualify for an extension. In some cases you may not be entitled. There are also strict timeframes and procedures to be adhered to once the process has commenced and you will need to be guided by your lawyer throughout the process.

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

Leasehold properties in Teddington with in excess of one hundred years left on the lease are often referred to as ‘virtual freehold’. This is where the lease value the same as a freehold interest in your home. In such situations there is often little upside in purchasing the reversionary interest unless savings on ground rent and service charges justify it.

Lending institutions may not lend with a short lease

Mortgage companies do not like short residential leases. You most probably experience problems if you want to sell your flat in Teddington if the remaining term of your lease is below the criteria set by most mortgage companies. Different mortgage companies have different requirements but generally they are looking for a minimum remaining lease term of seventy years.

What makes us experts in Teddington lease extensions?

Retaining our service will provide you enhanced control over the value of your Teddington leasehold, as your property will be more valuable and marketable in relation to the lease length should you want to sell. The conveyancing solicitors that we work with have a in-depth market knowledge handling many hundreds of lease extensions or freehold purchase transactions.

Teddington Lease Extension Case Studies:

Sam, Teddington, South West London,

Sam owned a high value apartment in Teddington on the market with a lease of just over 59 years left. Sam on an informal basis contacted his landlord a well known Bristol-based freehold company and enquired on a premium to extend the lease. The landlord was prepared to grant an extension on non-statutory terms taking the lease to 125 years on the basis of a new rent at the outset set at £100 per annum and doubled every twenty five years thereafter. Ordinarily, ground rent would not be due on a lease extension were Sam to invoke his statutory right. Sam obtained expert legal guidance and secured satisfactory deal without going to tribunal and readily saleable.

Teddington case:

Mr and Mrs. T Moreau owned a first floor apartment in Teddington in April 2005. We are asked if we could approximate the premium would be for a ninety year extension to my lease. Comparable properties in Teddington with 100 year plus lease were in the region of £166,800. The mid-range ground rent payable was £50 invoiced per annum. The lease finished on 8 March 2076. Given that there were 50 years left we estimated the premium to the freeholder for the lease extension to be between £32,300 and £37,400 exclusive of expenses.