Top reasons for Tolworth lease extension

Why you should start your Tolworth lease extension today:

A Tolworth lease depreciates with the years remaining on the lease.

For those whose Tolworth home is held on a long lease, our message is clear – if you ignore the situation, your property will ultimately revert to the freeholder, leaving you empty-handed. The shorter the lease the less it is worth and the more it will cost to extend the lease.

An extended lease is almost the same value as a freehold

Leasehold premises in Tolworth with in excess of one hundred years left on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your premises. In such circumstances there is often little to be gained by purchasing the reversionary interest unless savings on ground rent and estate charges warrant it.

Mortgage lenders will not grant a mortgage with a short lease

The definition of a short lease varies by mortgage company, yet mortgage lenders start to become nervous at around 75 years. This will cause difficulties when you wish to market or remortgage your property as it will be effectively unmortgageable. You may not have an immediate desire to sell but when you do your purchaser will need to hold off for a couple of years before being able to exercise the right to a an extension to the lease.

Get in touch with one of our Tolworth lease extension solicitors or enfranchisement solicitors

Regardless of whether you are a tenant or a landlord in Tolworth,the lease extension solicitors 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 Tolworth valuers.

Tolworth Lease Extension Case Studies:

Gemma, Tolworth, South West London,

After lengthy discussions with the freeholder of her first floor apartment in Tolworth, Gemma initiated the lease extension process just as the lease was coming close to the critical 80-year deadline. The transaction was concluded in May 2015. The freeholder’s charges were kept to an absolute minimum.

Tolworth case:

In 2013 we were contacted by Mrs Emily Mercier who, having acquired a one bedroom flat in Tolworth in October 1998. We are asked if we could approximate the compensation to the landlord would likely be to prolong the lease by an additional years. Comparable properties in Tolworth with a long lease were worth £205,000. The mid-range amount of ground rent was £50 collected monthly. The lease expired in 2105. Having 79 years unexpired we estimated the premium to the landlord to extend the lease to be between £8,600 and £9,800 exclusive of legals.