Why you should start your South West London lease extension

Why you should start your South West London lease extension today:

A South West London leasehold property depreciates with the years remaining on the lease.

South West London residential property owned on a long lease is a depreciating asset as the leaseholder merely owns the property for a set term.

An extended lease has roughly the same value as a freehold

Leasehold residencies in South West London with over one hundred years unexpired on the lease are often 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 freehold unless savings on ground rent and service charges merit it.

Banks and Building Societies will not finance a property with a short lease

Banks and building societies are making their criteria more stringent and many now require flats to have at least sixty if not seventy years remaining at the end of the mortgage. As plenty of flats in South West London were built in the fifties, sixties and seventies as a result many now require lease extensions if they if they are to be mortgageable.

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

Regardless of whether you are a tenant or a freeholder in South West London,the lease extension experts 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 West London valuers.

South West London Lease Extension Example Cases:

Oliver, South West London, London

Last October Oliver, started to get near to the eighty-year mark with the lease on his one bedroom apartment in South West London. Having purchased his property 19 years ago, the unexpired term was of little significance. by good luck, it dawned on him that he needed to take action soon on Extending the lease. Oliver arranged for a lease extension at the eleventh hour last July. Oliver and the landlord eventually settled on an amount of £5,500 . If the lease had slid to less than 80 years, the sum would have increased by at least £1,125.

South West London case:

In 2010 we were e-mailed by Mr and Mrs. R Bertrand who, having completed a newly refurbished apartment in South West London in May 2006. We are asked if we could estimate the compensation to the landlord could be to prolong the lease by 90 years. Identical homes in South West London with 100 year plus lease were worth £300,000. The average amount of ground rent was £50 billed annually. The lease lapsed on 25 March 2101. Considering the 76 years outstanding we approximated the compensation to the landlord for the lease extension to be within £8,600 and £9,800 plus costs.