The only way is down when it comes to Homerton lease terms. Homerton leaseholds that have a residual term less than than 80 years will reduce in value at a rapid rate, and the cost to extend your lease will rise.
Leasehold residencies in Homerton with in excess of one hundred years remaining on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your property. In such circumstances there is often little to be gained by purchasing the reversionary interest unless savings on ground rent and estate charges merit it.
| Lender | Requirement |
|---|---|
| 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. |
| 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. |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
Lease extensions in Homerton can be a difficult process. We recommend you secure guidance from a conveyancer and valuer with experience in this area.
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 procuring Homerton lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Following unsuccessful discussions with the landlord of her garden flat in Homerton, Zoe initiated the lease extension process as the 80 year deadline was quickly nearing. The legal work completed in January 2007. The freeholder’s charges were restricted to a tad over 650 pounds.
Dr Stanley Mitchell was assigned a lease of a one bedroom apartment in Homerton in October 1999. The dilemma was if we could estimate the compensation to the landlord would be for a 90 year lease extension. Comparable properties in Homerton with an extended lease were valued about £264,000. The mid-range amount of ground rent was £60 billed annually. The lease concluded in 2077. Having 53 years remaining we estimated the compensation to the freeholder for the lease extension to be between £37,100 and £42,800 not including professional charges.
An example of a Freehold Enfranchisement decision for a Homerton flat is 104 Nightingale Road in May 2009. The Tribunal's Decision is that the premium torbe paid for the enfranchisement in this case is £112,174 This case affected 10 flats. The remaining number of years on the lease was 71.25 years.