Iver leases on domestic properties are gradually losing value. if your lease has approximately ninety years remaining, you should start thinking about a lease extension. An important point to note is that it is desirable for your lease extension to be in place before the term of the existing lease dips lower than eighty years - otherwise a higher amount will be payable. Flat owners in Iver will usually qualify for a lease extension; however a solicitor should be able check your eligibility. In certain cases you may not be entitled. There are also strict timetables and formalities to follow once the process is triggered so it’s sensible to be guided by a conveyancing solicitor during the process.
Leasehold properties in Iver with in excess of 100 years outstanding on the lease are sometimes referred to as ‘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 service charges warrant it.
| Lender | Requirement |
|---|---|
| Birmingham Midshires | 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. |
| TSB | Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption. |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
| Yorkshire Building Society | 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. |
Irrespective of whether you are a tenant or a freeholder in Iver,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 experience and the close ties they enjoy with Iver valuers.
Last Autumn Dexter, started to get close to the eighty-year mark with the lease on his first floor flat in Iver. In buying his home 19 years ago, the unexpired term was of no interest. Thankfully, he became aware that he would imminently be paying way over the odds for Extending the lease. Dexter extended the lease just in the nick of time in March. Dexter and the landlord subsequently settled on the final figure of £5,000 . If he failed to meet the deadline, the premium would have gone up by at least £1,050.
Last March we were called by Ms Francesca David , who was assigned a lease of a studio apartment in Iver in March 1997. The dilemma was if we could approximate the premium could be for a 90 year lease extension. Comparative homes in Iver with 100 year plus lease were worth £260,000. The mid-range amount of ground rent was £50 billed annually. The lease termination date was in 2098. Having 72 years unexpired we approximated the compensation to the landlord for the lease extension to be within £9,500 and £11,000 not including legals.
An example of a Freehold Enfranchisement matter before the tribunal for a Iver residence is 164 Nestles Avenue in October 2013. The tribunal agreed with the proposed price of £20,158 for the freehold and determined that that sum is the amount to be paid into court This case was in relation to 2 flats. The unexpired term was 69 years.