The nearer a residential lease in Abbey Wood gets to zero years unexpired, the more it reduces the value of the property. If the lease has, over 125 years remaining then this decrease may be negligible that being said there will become a point in time when a lease has fewer than eighty years unexpired as part of the premium you will incur is what is known as a marriage value. This could be significant. It is the primary reason why you should extend the lease sooner than later. Most flat owners in Abbey Wood will meet the qualifying criteria; nevertheless a conveyancer can advise if you qualify to extend your lease. In certain situations you may not qualify, the most frequent reason being that you have owned the property for less than two years.
Leasehold residencies in Abbey Wood with over 100 years unexpired on the lease are sometimes referred to as ‘virtual freehold’. This is where the lease value the same as a freehold interest in your home. In such situations there is often little upside in buying the freehold unless savings on ground rent and maintenance charges merit it.
| Lender | Requirement |
|---|---|
| Birmingham Midshires | Minimum 70 years from the date of the mortgage. |
| 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. |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
| 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. |
Lease extensions in Abbey Wood can be a difficult process. We recommend you obtain professional help from a conveyancing solicitor 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 in-depth market knowledge procuring Abbey Wood lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
In the wake of 9 months of unsuccessful correspondence with the landlord of her purpose-built flat in Abbey Wood, Jennifer started the lease extension process just as the lease was nearing the critical eighty-year deadline. The transaction was concluded in October 2015. The freeholder’s costs were restricted to below 700 pounds.
Last Autumn we were approach by Dr R Collins , who was assigned a lease of a ground floor apartment in Abbey Wood in January 2002. The dilemma was if we could approximate the compensation to the landlord could be to prolong the lease by ninety years. Comparable residencies in Abbey Wood with 100 year plus lease were worth £225,800. The average amount of ground rent was £60 invoiced per annum. The lease lapsed in 2086. Considering the 60 years outstanding we approximated the compensation to the freeholder for the lease extension to be between £25,700 and £29,600 exclusive of fees.
An example of a Lease Extension matter before the tribunal for a Abbey Wood residence is Various @ Colombus Square in January 2012. the Tribunal calculated the premiums to be paid for new leases for each of the flats in Mariners Walk to be £3822 and the premium to be paid for the new lease of 2 Knights Court to be £4439. This case related to 13 flats. The unexpired term as at the valuation date was 76 years.