Main reasons to start your Kingston lease extension

Main reasons to start your Kingston lease extension today:

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

The value of Kingston leasehold residential property falls as the lease term becomes shorter and this will have an impact on its saleability. The expense of a lease extension can increase materialy once the remaining term is less than eighty years

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

Leasehold residencies in Kingston with more than 100 years outstanding on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your home. In such situations there is often little to be gained by buying the freehold unless savings on ground rent and service charges merit it.

Mortgage lenders will not issue a mortgage on a short lease

Whether or not the lease is be regarded as a short lease depends on the specific mortgage company, yet lending institutions start to become jittery at around 75 years. This may cause difficulties once you come to sell or refinance your flat as it will be effectively unmortgageable. You may have no immediate desire to sell but when you do your buyer must hold off for a couple of years before being able to initiate the legal procedures for a lease extension.

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

Regardless of whether you are a tenant or a freeholder in Kingston,the lease extension solicitors that we work with will always be happy to discuss any residential leasehold matters and offer you the benefit of their experience and the close ties they enjoy with Kingston valuers.

Kingston Lease Extension Case Summaries:

Lydia, Kingston, Surrey,

After unsuccessful negotiations with the landlord of her ground floor flat in Kingston, Lydia started the lease extension process as the 80 year threshold was quickly advancing. The transaction was finalised in April 2011. The landlord’s charges were restricted to approximately 600 pounds.

Kingston case:

In 2011 we were e-mailed by Mr and Mrs. N Bell who, having completed a basement flat in Kingston in August 2009. The question was if we could estimate the premium could be for a 90 year lease extension. Similar residencies in Kingston with 100 year plus lease were valued about £200,800. The average amount of ground rent was £65 collected quarterly. The lease finished in 2086. Given that there were 60 years remaining we calculated the premium to the landlord for the lease extension to be between £20,900 and £24,200 not including legals.

Kingston case:

Last Autumn we were phoned by Mr and Mrs. F Leroy , who moved into a basement apartment in Kingston in May 1996. The dilemma was if we could shed any light on how much (approximately) premium would likely be for a ninety year lease extension. Comparable residencies in Kingston with a long lease were worth £255,000. The mid-range amount of ground rent was £50 invoiced monthly. The lease terminated in 2097. Taking into account 71 years unexpired we approximated the compensation to the freeholder to extend the lease to be within £9,500 and £11,000 not including professional charges.