Beaconsfield leases on domestic properties are gradually losing value. Where your lease has about 90 years left, you should start considering the need for a lease extension. An important point to note is that it is desirable for your lease extension to take place before the term of the existing lease drops lower than eighty years - otherwise a higher premium will be payable. Flat owners in Beaconsfield will mostly qualify for a lease extension; however a solicitor should be able check your eligibility. In some circumstances you may not qualify. There are also strict deadlines and procedures to comply with once the process is initiated so it’s best to be guided by a conveyancing solicitor during the process.
It is generally considered that a residential leasehold with over 100 years unexpired lease term is worth roughly the equivalent as a freehold. Where an further 90 years added to any lease with more than 35 years left, the residence will be worth the same as a freehold for many years in the future.
| Lender | Requirement |
|---|---|
| Accord Mortgages | 85 years from the date of completion of the mortgage. Please ensure that you explain the implications of a short term lease to the borrower. |
| Bank of Scotland | Minimum 70 years from the date of the mortgage. |
| Birmingham Midshires | Minimum 70 years from the date of the mortgage. |
| Coventry Building Society | A minimum of 70 years unexpired lease at completion for all scheme types apart from Lifetime Mortgages (Equity Release), which require a minimum unexpired term of 80 years at completion. |
| TSB | Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption. |
Lease extensions in Beaconsfield can be a difficult process. We recommend you obtain professional help from a conveyancing solicitor and valuer 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 Beaconsfield lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Jason was the the leasehold owner of a conversion apartment in Beaconsfield on the market with a lease of a little over fifty eight years remaining. Jason informally approached his freeholder a well known London-based freehold company for a lease extension. The landlord indicated a willingness to extend the lease to 125 years on the basis of a new rent initially set at £200 per annum and increase every twenty five years thereafter. Ordinarily, ground rent would not be due on a lease extension were Jason to invoke his statutory right. Jason obtained expert legal guidance and secured satisfactory resolution informally and sell the property.
In 2010 we were phoned by Dr Ellie Martinez who, having owned a basement flat in Beaconsfield in February 2008. The question was if we could estimate the compensation to the landlord could be for a ninety year extension to my lease. Comparable premises in Beaconsfield with 100 year plus lease were in the region of £183,600. The mid-range amount of ground rent was £65 invoiced every twelve months. The lease elapsed in 2082. Considering the 57 years as a residual term we approximated the compensation to the freeholder for the lease extension to be within £28,500 and £33,000 exclusive of fees.
In 2011 we were e-mailed by Mr and Mrs. D Phillips who, having was assigned a lease of a purpose-built apartment in Beaconsfield in October 2002. The dilemma was if we could approximate the premium would likely be to prolong the lease by a further 90 years. Identical residencies in Beaconsfield with 100 year plus lease were valued about £245,000. The average ground rent payable was £45 billed quarterly. The lease expired in 2093. Taking into account 68 years left we approximated the premium to the freeholder to extend the lease to be within £9,500 and £11,000 exclusive of legals.