Top reasons for Chessington lease extension

Top reasons for lease extension now:

Increase your lease and increase your Chessington property value

Chessington leases on residential deteriorating in value. Where your lease has about ninety years unexpired, you should start considering the need for a lease extension. Eighty years is a significant number: when the unexpired term of a lease falls below this level then you begin paying an additional element called marriage value. Leasehold owners in Chessington will usually qualify for a lease extension; however It would be wise to check with a conveyancing solicitor to confirm if you qualify. In certain cases you may not qualify. There are prescribed deadlines and procedures to follow once the process is initiated so it’s wise to be guided by a conveyancer during the process.

An extended lease has roughly the same value as a freehold

It is conventional wisdom that a property with in excess of 100 years unexpired lease term is worth approximately the same as a freehold. Where an further ninety years added to any lease with more than 35 years unexpired, the property will be equivalent in value to a freehold for many years ahead.

Banks and Building Societies may not lend with a short lease

Mortgage lenders have set criteria when lending funds secured on leasehold homes. Some will simply refrain from lending at all once the remaining lease term goes lower than a specified unexpired lease term. Many Lending institutions will not regard property with an unexpired term of less than 75 years as acceptable security. In addition to impacting your ability to sell, it is also relevant if you are seeking to refinance your Chessington home.

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

Irrespective of whether you are a tenant or a freeholder in Chessington,the lease extension solicitors that we work with will always be willing to discuss any residential leasehold matters and offer you the benefit of their in-depth market knowledge and the close ties they enjoy with Chessington valuers.

Chessington Lease Extension Case Summaries:

Harry, Chessington, South West London,

Harry was the the leasehold proprietor of a studio flat in Chessington being marketed with a lease of a little over sixty years remaining. Harry informally contacted his landlord being a well known Bristol-based freehold company for a lease extension. The freeholder was keen to grant an extension on non-statutory terms taking the lease to 125 years on the basis of a new rent to start with set at £200 per annum and doubled every twenty five years thereafter. No ground rent would be payable on a lease extension were Harry to exercise his statutory right. Harry procured expert advice and was able to make an informed decision and deal with the matter and ending up with a market value flat.

Chessington case:

Dr Teddy Khan acquired a one bedroom flat in Chessington in July 1997. The dilemma was if we could approximate the price would likely be to prolong the lease by an additional years. Comparable properties in Chessington with an extended lease were worth £191,000. The mid-range ground rent payable was £65 billed annually. The lease terminated on 20 October 2084. Having 58 years unexpired we estimated the compensation to the landlord to extend the lease to be between £23,800 and £27,400 exclusive of costs.