With a long leasehold property in Seven Kings, you are in fact renting it for a certain amount of time. These days flat leases typically tend to be for 99 years or 125. Even though this may appear like a long period of time, you should think about a lease extension sooner as opposed to later. The general rule is that the shorter the number of years is the cost of extending the lease increases markedly particularly once there are less than eighty years left. Leasehold owners in Seven Kings with a lease drawing near to 81 years left should seriously consider extending it as soon as possible. Once the lease term has less than eighty years left, under the relevant Act the landlord can calculate and levy a larger premium, based on a technical calculation, known as “marriage value” which is due.
It is generally accepted that a residential leasehold with over 100 years remaining is worth roughly 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 many years ahead.
| Lender | Requirement |
|---|---|
| Bank of Scotland | |
| Barnsley Building Society | |
| Halifax | |
| Skipton Building Society | |
| The Mortgage Works |
Irrespective of whether you are a tenant or a landlord in Seven Kings,the lease extension lawyers that we work with will always be happy to discuss any residential leasehold matters and offer you the benefit of their in-depth market knowledge and the close ties they enjoy with Seven Kings valuers.
Two years ago Luca, started to get near to the 80-year threshold with the lease on his one bedroom apartment in Seven Kings. In buying his home two decades ago, the unexpired term was of minimal interest. As luck would have it, it dawned on him that he needed to take action soon on a lease extension. Luca was able to extend his lease just in the nick of time in July. Luca and the freeholder via the managing agents subsequently settled on a premium of £6,000 . If the lease had slid below eighty years, the sum would have become more exhorbitant by a minimum £1,150.
Mrs R Moreau completed a garden apartment in Seven Kings in January 1997. We are asked if we could approximate the compensation to the landlord would likely be to prolong the lease by ninety years. Similar homes in Seven Kings with 100 year plus lease were in the region of £218,000. The average amount of ground rent was £45 collected per annum. The lease terminated on 1 March 2089. Taking into account 63 years remaining we calculated the compensation to the freeholder to extend the lease to be between £17,100 and £19,800 exclusive of expenses.
An example of a Lease Extension case for a Seven Kings property is 49 Aldborough Road South in July 2012. The Tribunal decided that the premium payable for the grant of the new lease was £13,925 This case affected 1 flat. The number of years remaining on the existing lease(s) was 61.36 years.