There is no doubt about it a leasehold flat or house in Gunnersbury is a wasting asset as a result of the shortening lease. Where the lease has, more than 125 years remaining then this decrease may be negligible however there will become a stage when a lease has under than eighty years remaining as part of the premium you will incur is what is termed as a marriage value. This could be significant. It is the primary rational as to why you should extend the lease sooner rather than later. Most flat owners in Gunnersbury will meet the qualifying criteria; nevertheless a conveyancing solicitor can advise whether you qualify for a lease extension. In limited situations you may not qualify, the most frequent reason being that you have owned the property for less than two years.
Leasehold residencies in Gunnersbury with in excess of one hundred years left on the lease are often regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your property. In such situations there is often little upside in buying the freehold unless savings on ground rent and service charges justify it.
| 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. |
| 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. |
| Lloyds TSB Scotland | Minimum 70 years from the date of the mortgage. |
| Skipton Building Society | 85 years from the date of completion of the mortgage For Buy to Let cases: - lettings must not breach any of the lessee’s covenants; and - consent of the lessor to lettings must be obtained if necessary |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
Regardless of whether you are a tenant or a freeholder in Gunnersbury,the lease extension lawyers that we work with will always be happy to discuss any residential leasehold matters and offer you the benefit of their in-depth market knowledge and the close ties they enjoy with Gunnersbury valuers.
In the wake of 6 months of lengthy correspondence with the freeholder of her ground floor apartment in Gunnersbury, Katie commenced the lease extension process just as her lease was approaching the critical 80-year mark. The lease extension was finalised in October 2005. The freeholder’s charges were kept to an absolute minimum.
Mrs Bethany Williams moved into a basement flat in Gunnersbury in January 2011. The question was if we could shed any light on how much (roughly) price would likely be for a ninety year lease extension. Comparative flats in Gunnersbury with a long lease were worth £250,000. The mid-range ground rent payable was £50 invoiced quarterly. The lease concluded in 2094. Taking into account 69 years left we calculated the compensation to the landlord for the lease extension to be between £9,500 and £11,000 not including legals.
An example of a Freehold Enfranchisement case for a Gunnersbury premises is 169 Southfield Road in September 2013. the tribunal decided that the premium to be paid in respect of the collective enfranchisement should be £51,203 This case affected 2 flats. The unexpired residue of the current lease was 64.64 years.