Top reasons for Chobham lease extension

Main reasons to commence your Chobham lease extension today:

Increase your lease and increase your Chobham property value

Chances are that if you own a flat in Chobham you actually own a long leasehold interest over your property

Chobham property with a lease extension is almost the same value as a freehold

Leasehold residencies in Chobham with in excess of 100 years left on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your premises. In such situations there is often little to be gained by purchasing the reversionary interest unless savings on ground rent and maintenance charges warrant it.

Lending institutions may decide not to grant a mortgage with a short lease

The trend since 2008 has been for mortgage companies to tighten lending criteria across the board - this has extended to the property over which the mortgage is to be charged. This has meant the minimum number of years remaining under the lease required by lenders has increased. In the past lenders were content with twenty years plus the term of the loan - typically 50 year leases but those requirements have been chipped away by the requirement for lengthy leases - many now have a minimum term of 75 years as a prerequisite.

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

Using our service will provide you better control over the value of your Chobham leasehold, as your property will be more valuable and saleable in respect of lease length should you wish to sell. The conveyancing solicitors that we work with are well versed in the legislation handling many hundreds of lease extensions or freehold purchase transactions.

Chobham Lease Extension Case Summaries:

Eliot, Chobham, Surrey

Last October Eliot, started to get near to the eighty-year threshold with the lease on his first floor flat in Chobham. In buying his property two decades ago, the lease term was of minimal concern. by good luck, he became aware that he would imminently be paying an escalated premium for a lease extension. Eliot extended the lease at the eleventh hour in September. Eliot and the landlord who owned the flat above in the end settled on sum of £5,000 . If he had missed the deadline, the price would have escalated by at least £950.

Chobham case:

Last Christmas we were approach by Mr and Mrs. F Díaz , who moved into a newly refurbished apartment in Chobham in July 1996. We are asked if we could estimate the price would likely be to extend the lease by 90 years. Comparative residencies in Chobham with a long lease were valued about £183,600. The average amount of ground rent was £65 invoiced yearly. The lease expired in 2083. Given that there were 57 years left we calculated the compensation to the freeholder for the lease extension to be within £28,500 and £33,000 not including expenses.

Chobham case:

Last year we were contacted by Dr Finley Anderson , who acquired a purpose-built flat in Chobham in January 2012. We are asked if we could estimate the compensation to the landlord could be to prolong the lease by a further 90 years. Comparable flats in Chobham with an extended lease were in the region of £250,000. The mid-range ground rent payable was £50 invoiced monthly. The lease terminated on 3 August 2094. Having 68 years remaining we approximated the compensation to the landlord to extend the lease to be between £10,500 and £12,000 exclusive of expenses.