Top reasons for Merton Park lease extension

Top reasons for lease extension now:

A Merton Park leasehold property depreciates with the years remaining on the lease.

Chances are that where you own a flat in Merton Park you actually own a long leasehold interest over your property

Merton Park property with a lease extension is almost the same value as a freehold

Leasehold premises in Merton Park with more than one hundred years outstanding on the lease are often 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 to be gained by purchasing the freehold unless savings on ground rent and estate charges merit it.

Lending institutions will not finance a property on a short lease

Most mortgage companies will be unwilling to lend on a lease with under seventy years remaining - although this varies from lender to lender. A buyer will undoubtedly find it difficult to obtain a mortgage and this will result in your Merton Park property being difficult to dispose of or remortgage.

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

Regardless of whether you are a tenant or a landlord in Merton Park,the lease extension lawyers that we work with will always be happy to discuss any residential leasehold matters and offer you the benefit of their experience and the close ties they enjoy with Merton Park valuers.

Merton Park Lease Extension Case Studies:

Georgina, Merton Park, South West London,

After protracted negotiations with the landlord of her studio flat in Merton Park, Georgina commenced the lease extension process as the eighty year threshold was rapidly advancing. The lease extension completed in October 2012. The landlord’s costs were kept to an absolute minimum.

Merton Park case:

Mr U Clarke took over the lease of a garden apartment in Merton Park in January 2012. The question was if we could shed any light on how much (approximately) price would likely be for a 90 year extension to my lease. Comparative properties in Merton Park with 100 year plus lease were valued around £257,800. The mid-range ground rent payable was £65 collected yearly. The lease came to a finish on 19 October 2091. Having 65 years as a residual term we calculated the premium to the freeholder to extend the lease to be within £18,100 and £20,800 exclusive of legals.