Nunhead leases on residential deteriorating in value. Where your lease has about ninety years unexpired, you should start considering the need for a lease extension. It is important to recognise that it is that it is desirable for your lease extension to take place before the term of the current lease drops under eighty years - otherwise a higher amount will be due. Leasehold owners in Nunhead will mostly qualify for a lease extension; however It would be wise to check with a lawyer to confirm if you qualify. In some cases you may not qualify. There are also strict timetables and procedures to follow once the process is initiated so it’s prudent to be guided by a lawyer during the process.
It is conventional wisdom that a property with more than one hundred years unexpired lease term is worth roughly the same as a freehold. Where an further 90 years added to all but the shortest lease, the residence will be equivalent in value to a freehold for many years ahead.
| Lender | Requirement |
|---|---|
| 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. |
| Lloyds TSB Scotland | Minimum 70 years from the date of the mortgage. |
| 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. |
Lease extensions in Nunhead can be a difficult process. We recommend you obtain professional help from a lawyer and valuer with experience in this area.
We provide you with an expert from a selection of lease extension solicitors, which ensures a targeted and efficient service as you have a dedicated port of call with an individual lawyer. Our lease extension solicitors have in-depth market knowledge procuring Nunhead lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Last Winter Evan, started to get close to the eighty-year mark with the lease on his basement flat in Nunhead. Having bought his property two decades ago, the unexpired term was of little interest. Luckily, he recognised he would imminently be paying way over the odds for Extending the lease. Evan was able to extend his lease at the eleventh hour last August. Evan and the freeholder in the end settled on the final figure of £6,000 . If the lease had dropped below 80 years, the price would have gone up by at least £875.
Last year we were called by Mr and Mrs. I Campbell , who acquired a ground floor apartment in Nunhead in May 2010. The question was if we could shed any light on how much (roughly) price could be to extend the lease by a further 90 years. Similar residencies in Nunhead with an extended lease were valued around £166,400. The average ground rent payable was £60 billed monthly. The lease came to a finish in 2079. Considering the 54 years unexpired we calculated the compensation to the landlord for the lease extension to be between £32,300 and £37,400 not including professional charges.
An example of a Freehold Enfranchisement decision for a Nunhead premises is 41 Endwell Road in March 2013. this matter relateed to the acquisition of the freehold of a mid- terraced Victorian house converted into three separate self-contained dwellings. By an order dated 28/11/2012, Deputy District Judge Cole in the Bromley County Court held that the leaseholders were entitled to acquire the freehold and directed that the premium payable be determined by this Tribunal. The Tribunal assessed the premium to be £14,753 This case affected 3 flats. The unexpired residue of the current lease was 80.01 years.