West Hampstead leases on domestic deteriorating in value. if your lease has approximately ninety years unexpired, you should start considering the need for a lease extension. It is important to recognise that it is that it is financially advisable for your lease extension to take place before the term of the current lease falls below 80 years - otherwise a higher amount will be payable. Flat owners in West Hampstead will mostly be legally entitled to a lease extension; however It would be wise to check with a conveyancing solicitor to check if you qualify. In certain circumstances you may not qualify. There are also strict timetables and steps to comply with once the process has started so it’s wise to be guided by a lawyer during the process.
It is generally accepted that a property with over 100 years remaining is worth approximately the equivalent as a freehold. Where an further 90 years added to any lease with more than 35 years unexpired, the property will be worth the same as a freehold for many years ahead.
| Lender | Requirement |
|---|---|
| Halifax | 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 30 years plus the term of the mortgage at the outset of the mortgage. |
| Skipton Building Society | 85 years from the date of completion of the mortgage For Buy to Let cases: - lettings must not breach any of the lessee’s covenants; and - consent of the lessor to lettings must be obtained if necessary |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
| 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. |
Engaging our service will provide you better control over the value of your West Hampstead leasehold, as your property will be more valuable and saleable in relation to the lease length should you wish to sell. The conveyancing solicitors that we work with have a wealth of experience of handling many hundreds of lease extensions or freehold purchase transactions.
16 months ago Eliot, came very near to the eighty-year threshold with the lease on his ground floor flat in West Hampstead. Having bought his home 19 years previously, the unexpired term was of minimal relevance. by good luck, he noticed he needed to take steps soon on Extending the lease. Eliot arranged for a lease extension just ahead of time in July. Eliot and the landlord in the end agreed on a premium of £5,500 . If he had missed the deadline, the sum would have escalated by at least £900.
Last Spring we were called by Dr N Moreau , who completed a studio apartment in West Hampstead in February 1995. The question was if we could approximate the compensation to the landlord could be to extend the lease by an additional years. Identical residencies in West Hampstead with a long lease were worth £285,000. The average amount of ground rent was £55 invoiced yearly. The lease lapsed on 5 May 2105. Given that there were 79 years as a residual term we approximated the compensation to the freeholder to extend the lease to be between £13,300 and £15,400 exclusive of fees.
An example of a Lease Extension matter before the tribunal for a West Hampstead flat is Flat A 372 Cricklewood Lane in January 2013. The Tribunal decided that the premium for the extended lease should be £5,750.00 and that the terms of the new lease should be those set out in annex to the decsion This case related to 1 flat.