Lisson Grove leases on residential properties are gradually losing value. if your lease has about ninety years left, you should start thinking about a lease extension. 80 years is a significant number: when the remaining term of a lease drops below this level then you start paying an additional element called marriage value. Leasehold owners in Lisson Grove will mostly qualify for a lease extension; however It would be wise to check with a conveyancing solicitor to confirm your eligibility. In certain cases you may not be entitled. There are also strict deadlines and procedures to follow once the process is initiated so it’s sensible to be guided by a lawyer during the process.
It is conventional wisdom that a property with more than one hundred years remaining is worth roughly the equivalent as a freehold. Where an additional ninety years added to any lease with more than 45 years unexpired, the premises will be worth the same as a freehold for many years in the future.
| Lender | Requirement |
|---|---|
| Bank of Scotland | Minimum 70 years from the date of the mortgage. |
| 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. |
| Halifax | Minimum 70 years from the date of the mortgage. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
The lawyers that we work with undertake Lisson Grove 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 lawyer we work with provide it.
Last Spring Theo, came dangerously near to the eighty-year mark with the lease on his ground floor flat in Lisson Grove. In buying his property two decades ago, the lease term was of minimal relevance. Thankfully, he noticed he would soon be paying an escalated premium for a lease extension. Theo extended the lease just in the nick of time last January. Theo and the freeholder via the managing agents subsequently agreed on the final figure of £6,000 . If he failed to meet the deadline, the price would have become more costly by a minimum £1,050.
Last Summer we were contacted by Mr and Mrs. L Evans , who was assigned a lease of a garden flat in Lisson Grove in June 2009. We are asked if we could estimate the compensation to the landlord would likely be for a ninety year extension to my lease. Comparable premises in Lisson Grove with 100 year plus lease were in the region of £191,400. The average amount of ground rent was £55 collected quarterly. The lease lapsed in 2079. Considering the 54 years unexpired we approximated the premium to the landlord for the lease extension to be between £34,200 and £39,600 plus professional charges.
An example of a Lease Extension matter before the tribunal for a Lisson Grove residence is Flats 37 & 39 88/90 Portland Place in December 2010. The Tribunal determined that the premium payable for the lease extensions in respect of these two flats is as follows:- For Flat 37, the sum of £385,230.00 For Flat 39, the sum of £436,780.00 This case related to 2 flats. The number of years remaining on the existing lease(s) was 24.02 years.