Top reasons for Southall lease extension

Main reasons to start your Southall lease extension today:

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

The nearer a residential lease in Southall gets to zero years unexpired, the more it reduces the value of the property. Where the residual term has, beyond 100 years remaining then this decrease may be fractional however there will become a stage when a lease has fewer than 80 years left as part of the premium you will incur is what is termed as a marriage value. This could be significant. It is the primary rational as to why you should extend the lease sooner than later. Many flat owners in Southall will qualify for this right; that being said a conveyancing solicitor will be able to advise whether you are eligible for a lease extension. In limited situations you may not qualify, the most common reason being that you have not been the owner of the property for two years.

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

Leasehold properties in Southall with in excess of one hundred years left 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 property. In such circumstances there is often little upside in buying the reversionary interest unless savings on ground rent and estate charges warrant it.

Lenders may not grant a mortgage on a short lease

The trend since over the last decade has been for mortgage companies to tighten lending requirements across the board - this has extended to the property over which the mortgage is to be granted. This has resulted in the unexpired lease term required by mortgage companies has increased. In the past banks were content with 25 years plus the term of the loan - routinely fifty year leases but those requirements have been chipped away by the requirement for lengthy leases - many now have a minimum term of 75 years as a prerequisite.

Why use us for your lease extension in Southall?

Lease extensions in Southall can be a difficult process. We recommend you secure guidance from a conveyancing solicitor and surveyor with experience in lease extensions.

We provide you with an expert from a selection of lease extension solicitors, which ensures a targeted and efficient service as you have a dedicated port of call with an individual lawyer. Our lease extension solicitors have in-depth market knowledge dealing with Southall lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.

Southall Lease Extension Case Studies:

Ollie, Southall, North London,

Ollie owned a 2 bedroom flat in Southall on the market with a lease of a few days over fifty eight years unexpired. Ollie on an informal basis spoke with his freeholder being a well known London-based freehold company for a lease extension. The freeholder was prepared to grant an extension on non-statutory terms taking the lease to 125 years subject to a rise in the rent to £100 annually. No ground rent would be payable on a lease extension were Ollie to exercise his statutory right. Ollie procured expert legal guidance and was able to make an informed decision and handle with the matter and ending up with a market value flat.

Southall case:

In 2011 we were e-mailed by Mr D James who, having took over the lease of a garden flat in Southall in August 2005. We are asked if we could estimate the compensation to the landlord would likely be for a 90 year extension to my lease. Similar homes in Southall with 100 year plus lease were worth £205,000. The mid-range amount of ground rent was £50 invoiced annually. The lease lapsed on 20 January 2105. Given that there were 79 years remaining we approximated the premium to the freeholder to extend the lease to be between £7,600 and £8,800 not including expenses.