Why you should commence your Chipstead lease extension

Main reasons to commence your Chipstead lease extension today:

Increase your lease and increase your Chipstead property value

There is no doubt about it a leasehold property in Chipstead is a wasting asset as a result of the shortening lease. Where the residual term has, more than 99 years to run then this decrease may be of little impact nevertheless there will become a stage when a lease has under than 80 years left as part of the premium you will incur is what is termed as a marriage value. This could increase markedly the cost. It is the primary rational as to why you should consider extending sooner than later. Most flat owners in Chipstead will qualify for this right; however a conveyancing solicitor should be able to confirm if you are eligible for a lease extension. In certain situations you may not qualify, the most frequent reason being that you have owned the property for under two years.

An extended lease has roughly the same value as a freehold

Leasehold premises in Chipstead with over one hundred years left on the lease are often referred to as ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your property. In such situations there is often little to be gained by buying the freehold unless savings on ground rent and service charges merit it.

Lending institutions will not finance a property with a short lease

The definition of a short lease varies by mortgage company, yet mortgage lenders start to get jittery at around 75 years. This will be problematic once you come to market or remortgage your property as it will be effectively unmortgageable. You might not have an immediate intention to sell but when you do your buyer must hold off for a couple of years before they can start the legal procedures for a lease extension.

What makes us experts in Chipstead lease extensions?

Lease extensions in Chipstead can be a difficult process. We recommend you secure professional help from a lawyer and valuer well versed in the legislation and lease extension process.

We provide you with an expert from a selection of lease extension solicitors, which ensures a targeted and efficient service as you have a dedicated port of call with an individual lawyer. Our lease extension solicitors have a wealth of experience procuring Chipstead lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.

Chipstead Lease Extension Case Summaries:

Tyler, Chipstead, Surrey

In recent months Tyler, came precariously near to the 80-year threshold with the lease on his two bedroom flat in Chipstead. Having bought his flat two decades ago, the lease term was of minimal bearing. Thankfully, he became aware that he needed to take action soon on a lease extension. Tyler extended the lease just under the wire last May. Tyler and the landlord eventually agreed on an amount of £6,000 . If he failed to meet the deadline, the figure would have become more costly by at least £850.

Chipstead case:

Mr and Mrs. V Green was assigned a lease of a one bedroom flat in Chipstead in January 2007. We are asked if we could shed any light on how much (approximately) compensation to the landlord would likely be for a 90 year lease extension. Comparative properties in Chipstead with a long lease were in the region of £240,600. The average amount of ground rent was £60 billed monthly. The lease terminated in 2088. Given that there were 62 years unexpired we calculated the compensation to the freeholder for the lease extension to be between £21,900 and £25,200 not including legals.