Why you should commence your Malden Rushett lease extension

Why you should commence your Malden Rushett lease extension today:

Increase your lease and increase your Malden Rushett property value

With a residential leasehold property in Malden Rushett, you are in fact renting it for a certain amount of time. Modern flat leases typically tend to be for 99 years or 125. Many leasehold owners are unconcerned as this seems like a long period of time, you should think about a lease extension sooner rather than later. Accepted thinking is that the shorter the number of years is the cost of extending the lease becomes disproportionately more expensive especially when there are less than eighty years left. Leasehold owners in Malden Rushett with a lease approaching 81 years remaining should seriously consider extending it sooner than later. When the lease term has under 80 years outstanding, under the current statute the freeholder is entitled to calculate and demand a greater premium, based on a technical multiplication, known as “marriage value” which is payable.

An extended lease has roughly the same value as a freehold

It is generally considered that a residential leasehold with in excess of one hundred years unexpired lease term is worth roughly the equivalent as a freehold. Where an further 90 years added to all but the shortest lease, the residence will be worth the same as a freehold for decades to come.

Lending institutions will not loan monies with a short lease

Most mortgage lenders will not grant a mortgage on a lease with less than seventy years remaining - although this varies between mortgage companies. A purchaser will no doubt find it difficult to obtain a mortgage and this could result in your Malden Rushett property becoming difficult to sell or remortgage.

Why use us for your lease extension in Malden Rushett?

The conveyancing solicitors that we work with procure Malden Rushett lease extensions and help protect your position. A lease extension can be arranged to be completed to coincide with a change of ownership so the costs of the lease extension are paid for using part of the sale proceeds. You really do need expert legal advice in this difficult and technical area of law. The lawyer we work with provide it.

Malden Rushett Lease Extension Case Studies:

Jamie, Malden Rushett, South West London,

Jamie was the the leasehold proprietor of a high value flat in Malden Rushett on the market with a lease of fraction over 59 years outstanding. Jamie informally spoke with his landlord a well known Bristol-based freehold company and enquired on a premium to extend the lease. The freeholder indicated a willingness to grant an extension taking the lease to 125 years on the basis of a rise in the rent to £125 yearly. Ordinarily, ground rent would not be payable on a lease extension were Jamie to invoke his statutory right. Jamie procured expert advice and secured satisfactory deal without resorting to tribunal and ending up with a market value flat.

Malden Rushett case:

Ms H Pérez acquired a ground floor flat in Malden Rushett in July 2010. The dilemma was if we could approximate the premium could be to prolong the lease by 90 years. Identical homes in Malden Rushett with a long lease were valued around £300,000. The average amount of ground rent was £50 collected quarterly. The lease termination date was on 3 November 2101. Having 76 years outstanding we approximated the premium to the landlord for the lease extension to be between £8,600 and £9,800 not including fees.