Main reasons to start your Chessington lease extension

Why you should commence your Chessington lease extension today:

Increase your lease and increase your Chessington property value

Chessington leases on residential properties are gradually losing value. Where your lease has approximately ninety years left, you should start thinking about a lease extension. If lease term dips under 80 years, you will then be required to pay 50% of the property's 'marriage value' on top of the usual cost of the lease extension to the landlord. Marriage value is the amount of extra value that a lease extension will add to the property. Leasehold owners in Chessington will mostly qualify for a lease extension; however It would be wise to check with a conveyancing solicitor to check if you qualify. In some circumstances you may not be entitled. There are also strict deadlines and formalities to comply with once the process is initiated so it’s prudent to be guided by a lawyer during the process.

An extended lease is almost the same value as a freehold

Leasehold premises in Chessington with more than 100 years left on the lease are often regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your property. In such situations there is often little upside in purchasing the reversionary interest unless savings on ground rent and estate charges justify it.

Lenders will not grant a mortgage on a short lease

Lenders are tightening their criteria and a meaningful number now require flats to have a minimum of sixty if not seventy years remaining once the mortgage has expired. Given that plenty of flats in Chessington were created in the 1950s, 1960s and 1970s as a result many now need to be extended if they if they are to be mortgageable.

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

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

Chessington Lease Extension Case Summaries:

Evan, Chessington, South West London,

Evan was the the leasehold owner of a conversion flat in Chessington on the market with a lease of a little over 72 years left. Evan on an informal basis contacted his landlord a well known London-based freehold company and enquired on a premium to extend the lease. The freeholder indicated a willingness to extend the lease to 125 years on the basis of a rise in the rent to £100 per annum. No ground rent would be due on a lease extension were Evan to exercise his statutory right. Evan procured expert legal guidance and was able to make a more informed judgement and deal with the matter and readily saleable.

Chessington case:

Ms Mia Williams was assigned a lease of a studio flat in Chessington in March 1998. The question was if we could estimate the price could be for a ninety year extension to my lease. Similar premises in Chessington with an extended lease were valued about £208,200. The average amount of ground rent was £65 invoiced quarterly. The lease terminated on 24 June 2086. Having 61 years as a residual term we approximated the compensation to the landlord for the lease extension to be within £20,000 and £23,000 exclusive of expenses.