Beacon Hill leases on domestic properties are gradually losing value. if your lease has approximately 90 years unexpired, you should start thinking about a lease extension. It is important to recognise that it is that it is desirable for a lease extension to be in place before the term of the current lease drops lower than 80 years - otherwise a higher amount will be payable. Flat owners in Beacon Hill will mostly be legally entitled to a lease extension; however It would be wise to check with a lawyer to check if you qualify. In some cases you may not qualify. There are also strict timetables and formalities to comply with once the process has commenced so it’s sensible to be guided by a conveyancing solicitor during the process.
Leasehold properties in Beacon Hill with in excess of 100 years remaining on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your home. In such situations there is often little to be gained by purchasing the reversionary interest unless savings on ground rent and maintenance charges merit it.
| Lender | Requirement |
|---|---|
| Bank of Scotland | |
| Chelsea Building Society | |
| Godiva Mortgages | |
| Nationwide Building Society | |
| Yorkshire Building Society |
Irrespective of whether you are a tenant or a landlord in Beacon Hill,the lease extension experts that we work with will always be happy to discuss any residential leasehold matters and offer you the benefit of their in-depth market knowledge and the close ties they enjoy with Beacon Hill valuers.
Last year Milo, came precariously close to the 80-year threshold with the lease on his two bedroom flat in Beacon Hill. Having bought his property 19 years ago, the length of the lease was of minimal bearing. Thankfully, he realised he would soon be paying way over the odds for a lease extension. Milo was able to extend his lease just in the nick of time in July. Milo and the landlord who owned the flat above subsequently settled on sum of £6,000 . If the lease had gone lower than 80 years, the figure would have increased by a minimum £1,075.
In 2013 we were contacted by Mr and Mrs. G Parker who, having purchased a one bedroom flat in Beacon Hill in November 2012. The question was if we could shed any light on how much (approximately) price would be for a 90 year lease extension. Similar homes in Beacon Hill with a long lease were worth £243,000. The mid-range ground rent payable was £65 collected annually. The lease concluded in 2089. Taking into account 63 years left we approximated the compensation to the freeholder for the lease extension to be between £20,000 and £23,000 exclusive of professional charges.
Last Spring we were approach by Mr S Edwards , who owned a garden apartment in Beacon Hill in May 1998. We are asked if we could approximate the compensation to the landlord would likely be for a 90 year lease extension. Comparative residencies in Beacon Hill with 100 year plus lease were worth £181,600. The average ground rent payable was £55 collected annually. The lease expired in 2078. Having 52 years remaining we calculated the premium to the freeholder to extend the lease to be between £30,400 and £35,200 not including fees.