Main reasons to start your South London lease extension

Top reasons for lease extension now:

Increase your lease and increase your South London property value

South London leases on residential properties are gradually diminishing in value. The shorter the remaining lease term becomes, the less it is worth – and accordingly any extension of your lease becomes more expensive. It is the case that most South London tenants have the right to extend their lease by an additional 90 years by virtue of the 1993 Leasehold Reform Act. If you are a leasehold owner in South London you would be well advised to investigate if your lease has between seventy and 90 years remaining. There are good reasons why a South London flat owner with a lease having around eighty years left should take action to ensure that a lease extension is put in place without delay

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

It is generally accepted that a property with more than 100 years remaining is worth approximately the same as a freehold. Where an further ninety years added to any lease with more than 45 years remaining, the property will be worth the same as a freehold for decades to come.

Lenders will not finance a property on a short lease

Nearly all banks and building societies will not lend on a lease with less than 70 years remaining - although this varies from lender to lender. A purchaser will undoubtedly find it difficult to obtain a mortgage and this could result in your South London property being difficult to dispose of or to obtain finance on.

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

Regardless of whether you are a tenant or a freeholder in South London,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 in-depth market knowledge and the close ties they enjoy with South London valuers.

South London Lease Extension Example Cases:

Toby, South London, London,

Toby was the the leasehold proprietor of a studio flat in South London on the market with a lease of fraction over sixty years left. Toby informally approached his freeholder being a well known local-based freehold company and enquired on a premium to extend the lease. The landlord was keen to give an extension on non-statutory terms taking the lease to 125 years subject to a new rent initially set at £100 per annum and doubled every 25 years thereafter. Ordinarily, ground rent would not be due on a lease extension were Toby to exercise his statutory right. Toby obtained expert advice and secured an acceptable resolution informally and readily saleable.

South London case:

Mrs Mia Wright acquired a purpose-built apartment in South London in June 1999. The question was if we could approximate the price would likely be to prolong the lease by ninety years. Similar residencies in South London with 100 year plus lease were valued around £191,400. The average amount of ground rent was £55 invoiced per annum. The lease expiry date was in 2080. Considering the 54 years left we estimated the premium to the landlord to extend the lease to be within £34,200 and £39,600 not including fees.