Unfortunately that a Biggin Hill residential lease is a wasting asset. The lease value reduces in proportion to its lease length. The extent of this is taken for granted in the first few years due to the loss of value being disguised by increases in the Biggin Hill property prices.Once your lease gets to 85ish years, you need to start considering a lease extension. An important point to note is that it is desirable for lease extension to take place before the term of the existing lease falls under eighty years - otherwise a higher amount will be due. The majority of leasehold owners in Biggin Hill will be able to extend under the legislation; however a conveyancer will be able to confirm if you are eligibility. In some cases you may not qualify. There are also strict deadlines and procedures to follow once the process has commenced and you will need to be guided by your conveyancer for the duration of the process.
Leasehold premises in Biggin Hill with over 100 years unexpired on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your property. In such situations there is often little to be gained by purchasing the reversionary interest unless savings on ground rent and service charges merit it.
| Lender | Requirement |
|---|---|
| Barnsley Building Society | 60 years from the date of the mortgage application subject to 35 years remaining at the end of the mortgage term. |
| Halifax | Minimum 70 years from the date of the mortgage. |
| Leeds Building Society | 85 years remaing from the start of the mortgage. |
| National Westminster Bank | Mortgage term plus 30 years. For a Lifetime Mortgage, the term must be no less than 150 years minus the age of the Borrower. |
| TSB | Mortgage term plus 30 years subject to an overall minimum term of 70 years |
Lease extensions in Biggin Hill can be a difficult process. We recommend you secure professional help from a conveyancing solicitor 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 dealing with Biggin Hill 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 eight months of unsuccessful negotiations with the landlord of her first floor apartment in Biggin Hill, Lydia started the lease extension process just as the lease was approaching the crucial 80-year threshold. The legal work was concluded in May 2010. The landlord’s fees were kept to an absolute minimum.
Last Christmas we were contacted by Mrs B González , who bought a ground floor apartment in Biggin Hill in August 1995. The question was if we could approximate the compensation to the landlord could be to prolong the lease by a further 90 years. Comparative residencies in Biggin Hill with an extended lease were worth £223,400. The mid-range ground rent payable was £60 collected yearly. The lease terminated in 2078. Considering the 59 years left we calculated the premium to the freeholder for the lease extension to be between £27,600 and £31,800 plus fees.
An example of a Lease Extension case for a Biggin Hill property is 1 Southlands Court Southlands Road in September 2013. The Leasehold Valuation Tribunal determined that the premium to be paid by the tenant on the grant of a new lease, in accordance with section 56 and Schedule 13 of the Leasehold Reform, Housing and Urban Development Act 1993 was £30,541 This case was in relation to 1 flat. The unexpired lease term was 50.57 years.