On the balance of probabilities where you own a flat in Maida Vale you actually own a long leasehold interest over your property
Leasehold residencies in Maida Vale with in excess of 100 years left on the lease are often regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your premises. In such situations there is often little to be gained by buying the reversionary interest unless savings on ground rent and maintenance charges merit it.
Lender | Requirement |
---|---|
Accord Mortgages | 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. |
Chelsea 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. |
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. |
Regardless of whether you are a tenant or a freeholder in Maida Vale,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 in-depth market knowledge and the close ties they enjoy with Maida Vale valuers.
During the course of the last few months Riley, came very close to the eighty-year mark with the lease on his ground floor flat in Maida Vale. In buying his property twenty years previously, the length of the lease was of minimal importance. Fortunately, he became aware that he would imminently be paying an inflated amount for Extending the lease. Riley extended the lease at the eleventh hour in March. Riley and the landlord in the end agreed on sum of £6,000 . If the lease had fallen lower than eighty years, the sum would have gone up by a minimum £1,100.
In 2011 we were phoned by Mr and Mrs. P Howard who, having owned a one bedroom apartment in Maida Vale in May 1998. The question was if we could shed any light on how much (approximately) compensation to the landlord would likely be to extend the lease by an additional years. Comparable residencies in Maida Vale with an extended lease were in the region of £200,000. The average ground rent payable was £50 invoiced annually. The lease elapsed in 2101. Having 77 years left we calculated the premium to the freeholder to extend the lease to be within £8,600 and £9,800 plus legals.
An example of a Freehold Enfranchisement case for a Maida Vale flat is 4 & 4A Charteris Road in June 2009. the Tribunal held that the price to be paid for the enfranchisement of 4/4a Charteris Road to be £15,510 for at 4and £15,694 for at 4a This case related to 2 flats. The unexpired lease term was 70.02 years.