Top reasons for Turnham Green lease extension

Main reasons to start your Turnham Green lease extension today:

A Turnham Green lease depreciates with the years remaining on the lease.

It’s a harsh truth that a Turnham Green residential lease is a wasting asset. As the lease term reduces so does the value of the property. The extent of this is taken for granted in the early years due to the loss of value being disguised by increases in the Turnham Green property market.Once your lease gets to 85ish years, you should start considering a lease extension. An important point to note is that it is desirable for lease extension to take place before the term of the existing lease slips below 80 years - otherwise a higher amount will be payable. Most leasehold owners in Turnham Green will be able to extend under the legislation; however a conveyancer should be able to clarify whether you are eligibility. In some cases you may not be entitled. There are also strict deadlines and procedures to follow once the process is initiated and you will need to be guided by your lawyer from beginning to end of the formalities.

An extended lease is almost the same value as a freehold

Leasehold residencies in Turnham Green with more than 100 years outstanding on the lease are sometimes referred to as ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your premises. In such situations there is often little upside in purchasing the reversionary interest unless savings on ground rent and maintenance charges merit it.

Lending institutions will not finance a property on a short lease

Almost all mortgage companies will be unwilling to grant a mortgage on a lease with under seventy years remaining - although this varies from lender to lender. A buyer will no doubt find it difficult in obtaining a mortgage and this will result in your Turnham Green property being difficult to sell or refinance.

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

The conveyancers that we work with handle Turnham Green 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 conveyancer we work with provide it.

Turnham Green Lease Extension Example Cases:

Leon, Turnham Green, West London

Last Autumn Leon, came precariously near to the 80-year mark with the lease on his leasehold flat in Turnham Green. Having bought his property 19 years ago, the length of the lease was of no significance. Fortunately, it dawned on him that he would soon be paying an inflated amount for a lease extension. Leon was able to extend his lease just in the nick of time last July. Leon and the freeholder via the management company subsequently agreed on the final figure of £6,000 . If the lease had gone below eighty years, the sum would have increased by at least £900.

Turnham Green case:

Mr and Mrs. K Sharif was assigned a lease of a studio apartment in Turnham Green in February 2012. The question was if we could approximate the compensation to the landlord could be to prolong the lease by ninety years. Comparable properties in Turnham Green with 100 year plus lease were worth £200,000. The average amount of ground rent was £50 billed per annum. The lease ran out on 27 February 2103. Considering the 77 years unexpired we approximated the compensation to the freeholder for the lease extension to be within £8,600 and £9,800 not including costs.