Harold Wood leases on residential properties are gradually losing value. if your lease has about 90 years left, you should start thinking about a lease extension. Eighty years is a significant number: when the unexpired term of a lease dips below this level then you begin incurring an additional element called marriage value. Leasehold owners in Harold Wood will mostly be legally entitled to a lease extension; however It would be wise to check with a lawyer to confirm your eligibility. In certain circumstances you may not qualify. There are also strict deadlines and steps to follow once the process is initiated so it’s best to be guided by a conveyancer during the process.
It is conventional wisdom that a residential leasehold with over 100 years remaining is worth approximately the equivalent as a freehold. Where an additional 90 years added to all but the shortest lease, the premises will be equivalent in value to a freehold for many years in the future.
| Lender | Requirement |
|---|---|
| Barnsley Building Society | 60 years from the date of the mortgage application subject to 35 years remaining at the end of the mortgage term. |
| Halifax | Minimum 70 years from the date of the mortgage. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
| Lloyds TSB Scotland | Minimum 70 years from the date of the mortgage. |
| National Westminster Bank | Mortgage term plus 30 years. For Shared Ownership, the remaining term of the lease must also be not less than 75 years at the outset of the mortgage. |
Lease extensions in Harold Wood can be a difficult process. We recommend you procure professional help from a conveyancing solicitor and valuer 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 in-depth market knowledge procuring Harold Wood lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
14 months ago Samuel, came critically close to the eighty-year threshold with the lease on his one bedroom apartment in Harold Wood. Having purchased his home 19 years previously, the lease term was of no importance. As luck would have it, it dawned on him that he needed to take steps soon on a lease extension. Samuel was able to extend his lease just ahead of time last July. Samuel and the freeholder subsequently settled on a premium of £5,000 . If the lease had slid to less than eighty years, the amount would have escalated by at least £1,125.
Mr and Mrs. L López owned a one bedroom flat in Harold Wood in July 2005. We are asked if we could approximate the price could be to extend the lease by a further 90 years. Comparable properties in Harold Wood with an extended lease were in the region of £260,000. The average ground rent payable was £50 collected yearly. The lease finished in 2096. Considering the 71 years remaining we approximated the premium to the freeholder to extend the lease to be within £9,500 and £11,000 plus costs.
An example of a Lease Extension matter before the tribunal for a Harold Wood premises is 37 Lodge Court High Street in November 2013. the decision of the LVT was that the premium to be paid for the new lease was £25,559 This case affected 1 flat. The number of years remaining on the existing lease(s) was 57.5 years.