Kingston residential property held on a long lease is a wasting asset because a leaseholder merely owns the property for a period of years.
Leasehold properties in Kingston with over one hundred years outstanding on the lease are sometimes referred to as ‘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 purchasing the reversionary interest unless savings on ground rent and service charges merit it.
| Lender | Requirement |
|---|---|
| Accord Mortgages | |
| Leeds Building Society | |
| National Westminster Bank | |
| Nationwide Building Society | |
| The Mortgage Works |
Lease extensions in Kingston can be a difficult process. We recommend you get professional help from a conveyancer and surveyor with experience in lease extensions.
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 in-depth market knowledge dealing with Kingston lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Luke was the the leasehold proprietor of a high value apartment in Kingston on the market with a lease of a little over 59 years remaining. Luke informally spoke with his freeholder a well known local-based freehold company for a lease extension. The freeholder was prepared to agree an extension on non-statutory terms taking the lease to 125 years subject to a new rent at the outset set at £150 per annum and doubled every 25 years thereafter. No ground rent would be due on a lease extension were Luke to invoke his statutory right. Luke obtained expert advice and secured satisfactory resolution without resorting to tribunal and readily saleable.
Last Winter we were approach by Mr and Mrs. E Davis , who bought a ground floor flat in Kingston in October 2009. We are asked if we could estimate the premium would be to prolong the lease by ninety years. Comparative properties in Kingston with 100 year plus lease were in the region of £285,000. The mid-range ground rent payable was £55 invoiced annually. The lease ran out on 6 July 2105. Taking into account 79 years as a residual term we estimated the premium to the landlord to extend the lease to be between £13,300 and £15,400 exclusive of expenses.
In 2010 we were called by Mr and Mrs. Y Martin who, having was assigned a lease of a purpose-built flat in Kingston in September 1998. The question was if we could shed any light on how much (roughly) compensation to the landlord would likely be for a 90 year extension to my lease. Similar homes in Kingston with a long lease were in the region of £193,400. The average ground rent payable was £65 billed monthly. The lease ended in 2085. Taking into account 59 years unexpired we calculated the premium to the landlord for the lease extension to be within £21,900 and £25,200 exclusive of legals.