There is no doubt about it a leasehold flat or house in Teddington is a wasting asset as a result of the shortening lease. If the residual term has, more than 100 years remaining then this decrease may be of little impact that being said there will become a stage when a lease has under than eighty years left as part of the premium you will incur is what is termed as a marriage value. This could increase sharply the cost. It is the primary reason why you should extend the lease sooner rather than later. Most flat owners in Teddington will qualify for this right; nevertheless a lawyer can confirm whether you qualify for a lease extension. In certain situations you may not qualify, the most common reason being that you have owned the property for under two years.
It is generally considered that a property with more than 100 years remaining is worth roughly the same as a freehold. Where an further 90 years added to any lease with more than 45 years left, the property will be equivalent in value to a freehold for many years in the future.
| 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. |
| Bank of Scotland | Minimum 70 years from the date of the mortgage. |
| Coventry Building Society | 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. |
| TSB | Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption. |
Regardless of whether you are a tenant or a landlord in Teddington,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 experience and the close ties they enjoy with Teddington valuers.
Following unsuccessful discussions with the landlord of her leasehold flat in Teddington, Paige started the lease extension process just as her lease was coming close to the crucial eighty-year deadline. The transaction was concluded in February 2010. The freeholder’s charges were negotiated to approximately 450 pounds.
Dr Jude Mitchell acquired a first floor apartment in Teddington in July 2001. The question was if we could estimate the compensation to the landlord could be to extend the lease by 90 years. Similar residencies in Teddington with an extended lease were valued about £205,000. The mid-range amount of ground rent was £50 collected per annum. The lease terminated in 2104. Having 79 years unexpired we approximated the compensation to the landlord to extend the lease to be between £8,600 and £9,800 plus fees.
An example of a Lease Extension matter before the tribunal for a Teddington flat is Flat D 15 Claremont Gardens in September 2013. TheTribunal determined in accordance with section48 and Schedule13 of the Leasehold Reform,Housing and Urban Development Act 1993 that the premium for the extended lease should be fourteen thousand one hundred and eighty seven pounds (£14,187.00) This case affected 1 flat.