Main reasons to start your Tolworth lease extension

Why you should start your Tolworth lease extension today:

Increase your lease and increase your Tolworth property value

When it comes to domestic leasehold property in Tolworth, you are in fact renting it for a certain period of time. In recent years flat leases are usually granted for 99 years or 125. Many leasehold owners become complacent as this seems like a lengthy period of time, you may consider a lease extension sooner rather than later. The general rule is that the shorter the lease is the cost of extending the lease gets disproportionately greater especially when there are fewer than eighty years remaining. Leasehold owners in Tolworth with a lease approaching 81 years unexpired should seriously think of extending it without delay. Once a lease has below 80 years remaining, under the relevant statute the freeholder is entitled to calculate and charge a larger premium, based on a technical multiplication, known as “marriage value” which is due.

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

Leasehold residencies in Tolworth with in excess of 100 years unexpired on the lease are sometimes referred to as ‘virtual freehold’. This is where the lease value the same as a freehold interest in your home. In such circumstances there is often little upside in purchasing the freehold unless savings on ground rent and estate charges justify it.

Lenders may not grant a mortgage on a short lease

Almost all banks and building societies will not lend on a lease with less than seventy years remaining - although this varies between mortgage companies. A purchaser will undoubtedly encounter difficulties to obtain a mortgage and this will result in your Tolworth property becoming difficult to dispose of or to obtain finance on.

What makes us experts in Tolworth lease extensions?

Engaging our service gives you better control over the value of your Tolworth leasehold, as your property will be more valuable and marketable in terms of lease length should you wish to sell. The conveyancing solicitors that we work with are well versed in the legislation handling many hundreds of lease extensions or freehold purchase transactions.

Tolworth Lease Extension Example Cases:

Paige, Tolworth, South West London,

Subsequent to protracted correspondence with the freeholder of her basement apartment in Tolworth, Paige commenced the lease extension process just as her lease was approaching the critical eighty-year threshold. The lease extension was finalised in September 2009. The landlord’s costs were kept to an absolute minimum.

Tolworth case:

Ms Elizabeth Lefèvre moved into a ground floor apartment in Tolworth in September 2000. We are asked if we could shed any light on how much (roughly) premium could be to extend the lease by 90 years. Similar residencies in Tolworth with an extended lease were in the region of £191,400. The average ground rent payable was £55 collected per annum. The lease finished on 14 January 2078. Given that there were 54 years unexpired we approximated the premium to the landlord for the lease extension to be between £34,200 and £39,600 not including fees.