Ealing leases on residential properties are gradually diminishing in value. The shorter the remaining lease term becomes, the less it is worth – and accordingly any extension of your lease gets more expensive. The majority of owners of residential leasehold property in Ealing enjoy rights under legislation to extend the terms of their leases. Where you are a leasehold owner in Ealing you should see if your lease has between 70 and ninety years remaining. In particular once the remaining lease term slips under 80 years, the amount payable for any lease extension increases dramatically as part of the premium you will incur is what is known as a marriage value
It is generally accepted that a property with more than 100 years remaining is worth roughly the equivalent as a freehold. Where an additional ninety years added to all but the shortest lease, the premises will be worth the same as a freehold for many years ahead.
| Lender | Requirement |
|---|---|
| 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. |
| Godiva Mortgages | 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. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
Lease extensions in Ealing can be a difficult process. We recommend you get guidance from a conveyancer 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 a wealth of experience dealing with Ealing lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Milo was the the leasehold owner of a 2 bedroom apartment in Ealing being marketed with a lease of a little over 72 years left. Milo on an informal basis spoke with his landlord being a well known local-based freehold company for a lease extension. The landlord was prepared to give an extension on non-statutory terms taking the lease to 125 years on the basis of a new rent at the outset set at £100 per annum and increase every twenty five years thereafter. Ordinarily, ground rent would not be payable on a lease extension were Milo to exercise his statutory right. Milo obtained expert advice and was able to make an informed judgement and handle with the matter and ending up with a market value flat.
Last Spring we were phoned by Mr and Mrs. L Roux , who moved into a first floor flat in Ealing in March 1999. The question was if we could estimate the compensation to the landlord would likely be for a ninety year lease extension. Similar homes in Ealing with 100 year plus lease were valued around £216,000. The mid-range ground rent payable was £60 invoiced monthly. The lease lapsed on 9 November 2083. Taking into account 58 years remaining we approximated the premium to the freeholder to extend the lease to be between £28,500 and £33,000 not including costs.
An example of a Lease Extension case for a Ealing flat is Flat 4 38 The Mall in April 2014. the Tribunal held that the premium payable for the lease extension to be £25,451 This case affected 1 flat. The unexpired term was 68.7 years.