Top reasons for Morden lease extension

Top reasons for lease extension now:

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

The rule of thumb is, all other factors being equal, the shorter the lease the more costly the premium. Qualifying leaseholders in Morden can extend the lease for a further 90 years under the 1993 Leasehold Reform Act. Please think carefully before delaying your Morden lease extension. Postponing the costs now simply escalates the price you will eventually have to pay for a lease extension.

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

It is conventional wisdom that a property with more than 100 years remaining is worth roughly the same as a freehold. Where an further 90 years added to any lease with more than 35 years left, the property will be worth the same as a freehold for decades to come.

Lenders may decide not to loan monies with a short lease

Most high street banks are tightening their criteria and many now want flats to have at least 60 if not 70 years left at the expiry of the mortgage. As a number of flats in Morden were built in the 1950s, 1960s and 1970s this means many now need to be extended if they if they are to be mortgageable.

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

Irrespective of whether you are a tenant or a landlord in Morden,the lease extension lawyers that we work with will always be willing to discuss any residential leasehold matters and offer you the benefit of their experience and the close ties they enjoy with Morden valuers.

Morden Lease Extension Case Studies:

Laura, Morden, South West London,

Following unsuccessful correspondence with the freeholder of her basement flat in Morden, Laura commenced the lease extension process just as the lease was coming close to the crucial eighty-year mark. The legal work was concluded in January 2013. The freeholder’s costs were restricted to less than 700 GBP.

Morden case:

Ms C Wood completed a first floor apartment in Morden in July 2005. We are asked if we could approximate the price could be for a 90 year extension to my lease. Comparable properties in Morden with a long lease were worth £275,000. The average ground rent payable was £65 collected monthly. The lease expired in 2094. Taking into account 68 years remaining we approximated the premium to the landlord for the lease extension to be between £12,400 and £14,200 plus expenses.