Beddington South leases on domestic properties are gradually losing value. Where your lease has approximately ninety years left, you should start thinking about a lease extension. If lease term is under eighty years, you will then be required to pay half of the property's 'marriage value' on top of the usual cost of the lease extension to the landlord. Marriage value is the amount of additional value that a lease extension will add to the property. Flat owners in Beddington South will mostly be legally entitled to a lease extension; however it’s a good idea to check with a conveyancer to check if you qualify. In some situations you may not qualify. There are also strict timetables and formalities to follow once the process is triggered so it’s sensible to be guided by a lawyer during the process.
Leasehold properties in Beddington South with in excess of one hundred years outstanding on the lease are sometimes referred to as ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your premises. In such situations there is often little upside in purchasing the freehold unless savings on ground rent and maintenance charges merit it.
| Lender | Requirement |
|---|---|
| Bank of Scotland | Minimum 70 years from the date of the mortgage. |
| Coventry Building Society | A minimum of 70 years unexpired lease at completion for all scheme types apart from Lifetime Mortgages (Equity Release), which require a minimum unexpired term of 80 years at completion. |
| 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. |
| 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 |
| 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 Beddington South can be a difficult process. We recommend you get professional help from a conveyancer and surveyor with experience in lease extensions.
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 Beddington South lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Two years ago Toby, came precariously near to the eighty-year threshold with the lease on his leasehold flat in Beddington South. Having purchased his flat two decades ago, the lease term was of minimal importance. Fortunately, he recognised he would imminently be paying an inflated amount for Extending the lease. Toby extended the lease just under the wire in March. Toby and the freeholder via the managing agents in the end agreed on the final figure of £5,500 . If he failed to meet the deadline, the price would have become more exhorbitant by at least £1,075.
In 2013 we were phoned by Mr U Thompson who, having owned a first floor apartment in Beddington South in April 2002. We are asked if we could shed any light on how much (approximately) price could be to extend the lease by 90 years. Comparative residencies in Beddington South with a long lease were valued around £254,200. The mid-range ground rent payable was £60 billed annually. The lease finished on 6 February 2077. Considering the 51 years as a residual term we estimated the premium to the landlord for the lease extension to be within £43,700 and £50,600 exclusive of costs.
An example of a Freehold Enfranchisement case for a Beddington South flat is 29 Woodstock Road in April 2014. the Tribunal determined that the premiums to be paid into court in respect of the purchase of the freehold registered at HMLR under Title N0.SY3997 should be £7,217. This case affected 4 flats. The unexpired term was 98 years.