Owning a apartment usually means owning a lease of the property, this is a ‘time-limited’ interest becoming shorter every day. your lease will normally be granted for a prescribed period of time , usually 99 or 125 years, although we have seen longer and shorter terms in Kentish Town. Inevitably, the length of lease remaining shortens as time goes by. This may slip by relatively unnoticed when the flat or house has to be sold or re-mortgaged. The shorter the lease the lower the value of the property and the more it will cost to extend the lease. Eligible leaseholders in Kentish Town have the right to extend the lease for an additional 90 years in accordance with statute. Please give due attention before putting off your Kentish Town lease extension. Putting off that expense now only increases the price you will ultimately incur to extend your lease
It is generally considered that a residential leasehold with over 100 years remaining is worth roughly the equivalent as a freehold. Where an further 90 years added to all but the shortest lease, the property will be worth the same as 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. |
| Skipton Building Society | 85 years from the date of completion of the mortgage For Buy to Let cases: - lettings must not breach any of the lessee’s covenants; and - consent of the lessor to lettings must be obtained if necessary |
| 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. |
The lawyers that we work with handle Kentish Town lease extensions and help protect your position. A lease extension can be arranged to be completed to coincide with a change of ownership so the costs of the lease extension are paid for using part of the sale proceeds. You really do need expert legal advice in this difficult and technical area of law. The conveyancer we work with provide it.
Following lengthy negotiations with the freeholder of her garden apartment in Kentish Town, Chelsea commenced the lease extension process as the 80 year mark was fast coming. The lease extension was concluded in June 2008. The freeholder’s costs were kept to an absolute minimum.
Last Winter we were e-mailed by Ms Hannah Gómez , who completed a newly refurbished apartment in Kentish Town in October 1995. We are asked if we could approximate the price could be to prolong the lease by an additional years. Identical homes in Kentish Town with an extended lease were valued about £255,000. The average amount of ground rent was £50 invoiced monthly. The lease elapsed on 7 April 2096. Having 70 years remaining we estimated the compensation to the freeholder to extend the lease to be within £10,500 and £12,000 exclusive of expenses.
An example of a Lease Extension decision for a Kentish Town property is Flat 2 27 Mackeson Road in December 2012. The Tribunal assessed the value of the lease extension premium at £35,435 and rounded the figure to £35,500 This case related to 1 flat. The number of years remaining on the existing lease(s) was 64.77 years.