Owning a apartment usually means owning a lease of the property, which has a set term of years. your lease will usually be granted for a prescribed period of time , ordinarily 99 or 125 years, although we have seen longer and shorter terms in Greenford. Inevitably, the period of lease left shortens over time. This is often ignored and only becomes a problem when the flat or house needs to be disposed of or refinanced. The fewer the years remaining the less it is worth and the more expensive it will be to extend the lease. Qualifying long lease owners in Greenford have the right to extend the lease for an additional ninety years under the 1993 Leasehold Reform Act. You should give careful consideration before putting off your Greenford lease extension. Holding off that expense now only increases the price you will eventually incur for a lease extension
Leasehold properties in Greenford with more than one hundred years left on the lease are often referred to as ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your premises. In such circumstances there is often little upside in buying the freehold unless savings on ground rent and maintenance charges warrant it.
| Lender | Requirement |
|---|---|
| Birmingham Midshires | |
| Coventry Building Society | |
| Nationwide Building Society | |
| TSB | |
| Virgin |
Lease extensions in Greenford can be a difficult process. We recommend you procure guidance from a conveyancer and surveyor well versed in the legislation and lease extension process.
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 Greenford lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Last year Daniel, started to get close to the eighty-year threshold with the lease on his two bedroom flat in Greenford. In buying his flat two decades ago, the unexpired term was of little importance. Thankfully, he became aware that he would soon be paying an inflated amount for Extending the lease. Daniel arranged for a lease extension at the eleventh hour last July. Daniel and the landlord eventually agreed on sum of £6,000 . If he had missed the deadline, the sum would have gone up by a minimum £1,000.
In 2012 we were contacted by Dr Austin Bonnet who, having acquired a basement apartment in Greenford in November 2007. The dilemma was if we could shed any light on how much (roughly) compensation to the landlord could be to extend the lease by ninety years. Identical residencies in Greenford with an extended lease were valued around £285,000. The average amount of ground rent was £55 billed every twelve months. The lease elapsed in 2105. Having 79 years outstanding we approximated the premium to the landlord for the lease extension to be within £13,300 and £15,400 exclusive of costs.
An example of a lease Extension case for a Greenford flat is 25 Beechwood Avenue in November 2012. the Tribunal accordingly determined that the premium for the lease extension should be £24,353. This case affected 1 flat. The unexpired term was 58.19 years.