Unfortunately that a Iver residential lease is a deteriorating asset. As the lease term reduces so does the value of the property. The extent of this is taken for granted in the early years due to the deflation being disguised by increases in the Iver property market.Where your lease has approximately ninety years left, you need to start considering a lease extension. An important point to note is that it is desirable for lease extension to take place before the term of the existing lease dips under 80 years - otherwise a higher premium will be due. Most leasehold owners in Iver will be able to extend under the legislation; however a lawyer will be able to clarify if you are eligibility. In some situations you may not qualify. There are also strict deadlines and procedures to be adhered to once the process has commenced and you will need to be guided by your conveyancing solicitor from beginning to end of the formalities.
It is conventional wisdom that a residential leasehold with over one hundred years remaining is worth approximately the same as a freehold. Where an further ninety years added to any lease with more than 30 years unexpired, the residence will be worth the same as a freehold for decades to come.
| 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. |
| Lloyds TSB Scotland | Minimum 70 years from the date of the mortgage. |
| National Westminster Bank | Mortgage term plus 30 years. |
| TSB | Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption. |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
Regardless of whether you are a tenant or a landlord in Iver,the lease extension lawyers that we work with will always be prepared to discuss any residential leasehold matters and offer you the benefit of their experience and the close ties they enjoy with Iver valuers.
Subsequent to lengthy correspondence with the landlord of her one bedroom apartment in Iver, Rachael initiated the lease extension process just as her lease was nearing the crucial 80-year threshold. The legal work was finalised in April 2010. The freeholder’s fees were restricted to about 700 GBP.
Ms Elizabeth Gunderson bought a first floor apartment in Iver in October 1997. The question was if we could approximate the premium could be for a ninety year extension to my lease. Comparative flats in Iver with 100 year plus lease were valued about £275,000. The mid-range amount of ground rent was £55 billed quarterly. The lease terminated on 2 August 2102. Considering the 77 years remaining we estimated the premium to the freeholder for the lease extension to be between £13,300 and £15,400 plus expenses.
An example of a Freehold Enfranchisement matter before the tribunal for a Iver premises 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 related to 2 flats. The remaining number of years on the lease was 69 years.