Why you should commence your Tadworth lease extension

Why you should commence your Tadworth lease extension today:

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

Owning a apartment usually means owning a lease of the property, which has a set term of years. your lease will usually be granted for a fixed period of time , usually 99 or 125 years, although we have come across longer and shorter terms in Tadworth. Inevitably, the term of lease left reduces over time. This may pass by relatively unnoticed when the property needs to be sold or refinanced. The fewer the years remaining the lower the value of the property and the more it will cost to procure a lease extension. Qualifying leaseholders in Tadworth have the right to extend the lease for a further ninety years under the 1993 Leasehold Reform Act. Do give due deliberation before delaying your Tadworth lease extension. Putting off that expense now likely increases the price you will eventually have to pay for a lease extension

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

It is generally accepted that a residential leasehold with over one hundred years unexpired lease term is worth approximately the same as a freehold. Where an further ninety years added to any lease with more than 45 years left, the premises will be worth the same as a freehold for decades to come.

Lenders may decide not to finance a property on a short lease

The propensity since over the last decade has been for lenders to tighten lending requirements generally - this has extended to the types of security over which the mortgage is to be granted. This has resulted in the minimum number of years remaining under the lease required by mortgage companies has increased. Historically lenders would grant a mortgage on a lease with twenty years plus the term of the loan - typically 50 year leases but those requirements are being increasingly undermined by the requirement for longer and longer leases - many use a minimum term of 75 years as a prerequisite.

What makes us experts in Tadworth lease extensions?

Retaining our service will provide you increased control over the value of your Tadworth leasehold, as your property will be more valuable and saleable in relation to the lease length should you decide to sell. The conveyancers that we work with have a in-depth market knowledge handling many hundreds of lease extensions or freehold purchase transactions.

Tadworth Lease Extension Example Cases:

Teddy, Tadworth, Surrey,

Teddy was the the leasehold proprietor of a conversion flat in Tadworth on the market with a lease of fraction over fifty eight years unexpired. Teddy informally spoke with his freeholder a well known Manchester-based freehold company and enquired on a premium to extend the lease. The freeholder indicated a willingness to extend the lease to 125 years on the basis of a rise in the rent to £50 annually. Ordinarily, ground rent would not be payable on a lease extension were Teddy to exercise his statutory right. Teddy obtained expert legal guidance and was able to make a more informed decision and handle with the matter and sell the property.

Tadworth case:

Mr and Mrs. W Petit purchased a one bedroom flat in Tadworth in June 1996. We are asked if we could shed any light on how much (roughly) premium would be for a 90 year lease extension. Comparable flats in Tadworth with an extended lease were in the region of £225,400. The average ground rent payable was £45 invoiced annually. The lease expired in 2089. Considering the 64 years as a residual term we calculated the premium to the freeholder to extend the lease to be between £15,200 and £17,600 plus costs.