When it comes to long leasehold premises in Dollis Hill, you are actually purchasing a right to reside in a property for a prescribed time frame. In recent years flat leases typically tend to be for 99 years or 125. Many leasehold owners are unconcerned as this seems like a lengthy period of time, you should consider a lease extension sooner as opposed to later. The general rule is that the shorter the lease is the cost of extending the lease becomes disproportionately greater notably when there are fewer than 80 years left. Anyone in Dollis Hill with a lease approaching 81 years remaining should seriously think of extending it as soon as possible. When the lease term has below 80 years outstanding, under the current legislation the landlord can calculate and demand a greater premium, assessed on a technical calculation, known as “marriage value” which is due.
It is conventional wisdom that a property with more than one hundred years unexpired lease term is worth roughly the same as a freehold. Where an additional 90 years added to all but the shortest lease, the property will be equivalent in value to a freehold for many years in the future.
| Lender | Requirement |
|---|---|
| Birmingham Midshires | Minimum 70 years from the date of the mortgage. |
| Chelsea Building Society | 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. |
| 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. |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
Using our service will provide you increased control over the value of your Dollis Hill leasehold, as your property will be more valuable and saleable in relation to the lease length should you decide to sell. The conveyancers that we work with have a wealth of experience of handling many hundreds of lease extensions or freehold purchase transactions.
Last Spring Stanley, came very near to the eighty-year threshold with the lease on his basement apartment in Dollis Hill. In buying his flat 19 years ago, the lease term was of no concern. Luckily, he recognised he needed to take steps soon on a lease extension. Stanley arranged for a lease extension just in the nick of time in March. Stanley and the freeholder ultimately agreed on a premium of £5,000 . If the lease had descended to less than 80 years, the sum would have gone up by a minimum £1,150.
Mr and Mrs. S Girard was assigned a lease of a one bedroom apartment in Dollis Hill in July 2003. The question was if we could estimate the price would likely be to prolong the lease by 90 years. Identical residencies in Dollis Hill with a long lease were worth £198,800. The average amount of ground rent was £55 collected annually. The lease finished in 2079. Having 55 years outstanding we calculated the compensation to the landlord for the lease extension to be between £33,300 and £38,400 exclusive of fees.
An example of a Lease Extension decision for a Dollis Hill premises is 12 Deacon Road in November 2012. the premium to be paid for the grant of the new lease was the sum of £31 ,635.00 (Thirty-One thousand and six hundred and thirty-five Pounds). The matter was then returned to the Willesden County Court for the completion of the grant of the new lease in substitution for the existing lease on payment into court the sum of £31,635.00 less the sum of £2,890.20 assessed costs incurred by the leaseholder. Thus the net sum of £28,744.80 was to be paid into court. This case affected 1 flat. The unexpired residue of the current lease was 61.98 years.