Warfield leases on residential properties are gradually losing value. The shorter the remaining lease term becomes, the less it is worth – and as a result any extension of your lease becomes more expensive. Legislation has been in place for sometime now allowing qualifying Warfield residential leaseholders to extend the terms of long leases. If you are a leasehold owner in Warfield you really ought to check if your lease has between seventy and 90 years remaining. In particular once the remaining lease term slips under 80 years, the amount payable for any lease extension increases dramatically as part of the premium you pay is what is known as a marriage value
It is generally accepted that a property with over 100 years unexpired lease term is worth approximately the equivalent as a freehold. Where an additional ninety years added to any lease with more than 30 years left, the property will be worth the same as a freehold for many years in the future.
| 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. |
| 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. |
| TSB | Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption. |
Lease extensions in Warfield can be a difficult process. We recommend you procure professional help from a lawyer and surveyor 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 procuring Warfield lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Half a year ago Leon, came dangerously near to the eighty-year mark with the lease on his studio flat in Warfield. Having bought his flat 18 years previously, the unexpired term was of minimal bearing. As luck would have it, it dawned on him that he would soon be paying way over the odds for Extending the lease. Leon was able to extend his lease just in the nick of time last August. Leon and the landlord who owned the flat above in the end settled on the final figure of £6,000 . If the lease had slid to less than 80 years, the price would have escalated by a minimum £850.
In 2010 we were contacted by Mr and Mrs. L Walker who, having was assigned a lease of a recently refurbished apartment in Warfield in November 2010. We are asked if we could approximate the premium would likely be to extend the lease by 90 years. Comparative flats in Warfield with an extended lease were in the region of £235,200. The mid-range amount of ground rent was £45 invoiced annually. The lease finished in 2092. Having 66 years left we estimated the compensation to the landlord for the lease extension to be within £12,400 and £14,200 not including expenses.
Last year we were e-mailed by Dr B Taylor , who was assigned a lease of a one bedroom flat in Warfield in March 1995. We are asked if we could shed any light on how much (approximately) price would be for a ninety year extension to my lease. Similar homes in Warfield with an extended lease were in the region of £275,000. The average ground rent payable was £55 billed quarterly. The lease elapsed in 2103. Taking into account 77 years unexpired we approximated the compensation to the freeholder for the lease extension to be within £13,300 and £15,400 plus fees.