The only way is down when it comes to Wanstead lease terms. Wanstead leaseholds that have a lease term lower than eighty years will de-escalate in market price at a rapid rate, and the cost to extend your lease will rise.
It is conventional wisdom that a residential leasehold with more than one hundred years unexpired lease term is worth approximately the equivalent as a freehold. Where an further 90 years added to all but the shortest lease, the premises will be equivalent in value to a freehold for many years ahead.
| Lender | Requirement |
|---|---|
| Halifax | Minimum 70 years from the date of the mortgage. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
| Lloyds TSB Scotland | Minimum 70 years from the date of the mortgage. |
| National Westminster Bank | Mortgage term plus 30 years. For Shared Ownership, the remaining term of the lease must be at least 75 years plus the term of the mortgage at the outset of the mortgage. |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
Lease extensions in Wanstead can be a difficult process. We recommend you get guidance from a conveyancing solicitor and valuer well versed in the legislation and lease extension process.
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 a wealth of experience dealing with Wanstead lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Aiden was the the leasehold proprietor of a 2 bedroom flat in Wanstead on the market with a lease of a little over 61 years left. Aiden on an informal basis approached his landlord being a well known London-based freehold company and enquired on a premium to extend the lease. The landlord indicated a willingness to grant an extension taking the lease to 125 years subject to a new rent at the outset set at £150 per annum and increase every 25 years thereafter. No ground rent would be due on a lease extension were Aiden to exercise his statutory right. Aiden obtained expert legal guidance and was able to make an informed decision and deal with the matter and ending up with a market value flat.
In 2014 we were called by Mr and Mrs. E Stewart who, having owned a purpose-built flat in Wanstead in January 2007. The question was if we could estimate the premium could be to prolong the lease by a further 90 years. Similar properties in Wanstead with a long lease were worth £265,200. The mid-range ground rent payable was £65 collected annually. The lease elapsed on 13 February 2092. Taking into account 66 years remaining we estimated the compensation to the landlord to extend the lease to be between £15,200 and £17,600 not including expenses.
An example of a Freehold Enfranchisement decision for a Wanstead flat is 36 New Wanstead in August 2010. The Tribunal arrived at a valuation of the premium for the freehold of £22,359. This case was in relation to 2 flats. The remaining number of years on the lease was 73.92 years.