On the balance of probabilities where you own a flat in Hither Green you actually own a long leasehold interest over your property
It is generally accepted that a property with in excess of 100 years unexpired lease term is worth roughly the same as a freehold. Where an further 90 years added to all but the shortest lease, the residence will be equivalent in value to a freehold for decades to come.
| Lender | Requirement |
|---|---|
| Bank of Scotland | Minimum 70 years from the date of the mortgage. |
| 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. |
| Halifax | Minimum 70 years from the date of the mortgage. |
| Lloyds TSB Scotland | Minimum 70 years from the date of the mortgage. |
| National Westminster Bank | Mortgage term plus 30 years. |
Engaging our service will provide you enhanced control over the value of your Hither Green leasehold, as your property will be more valuable and saleable in terms of lease length should you decide to sell. The conveyancers that we work with are well versed in the legislation handling many hundreds of lease extensions or freehold purchase transactions.
Last October Rory, came dangerously close to the eighty-year mark with the lease on his basement flat in Hither Green. Having bought his property 18 years previously, the unexpired term was of minimal bearing. by good luck, he became aware that he needed to take steps soon on Extending the lease. Rory extended the lease just in the nick of time last September. Rory and the landlord who owned the flat above eventually agreed on sum of £5,500 . If he not met the deadline, the price would have gone up by at least £1,000.
Last month we were called by Ms Samantha André , who completed a first floor flat in Hither Green in November 2006. We are asked if we could approximate the compensation to the landlord would likely be to extend the lease by an additional years. Identical properties in Hither Green with 100 year plus lease were valued about £203,200. The average ground rent payable was £65 billed per annum. The lease came to a finish on 3 April 2086. Considering the 61 years unexpired we approximated the compensation to the landlord for the lease extension to be between £20,000 and £23,000 not including expenses.
An example of a Freehold Enfranchisement matter before the tribunal for a Hither Green property is 18 Handen Road in April 2013. On 26 October 2012 District Judge Zimmels sitting at the Lambeth County Court made a Vesting Order that the Applicants be granted the right to acquire the freehold upon such terms and at such price determined by the LVT. The Tribunal arrived a figure of £39,535 as a valuation for the enfranchisement. This case was in relation to 3 flats. The number of years remaining on the existing lease(s) was 69.05 years.