Biggin Hill leases on residential deteriorating in value. if your lease has approximately 90 years left, you should start considering the need for a lease extension. If lease term falls under eighty years, you will then have 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 extra value that a lease extension will add to the property. Flat owners in Biggin Hill will mostly qualify for a lease extension; however It would be wise to check with a lawyer to check your eligibility. In certain situations you may not qualify. There are also strict deadlines and steps to comply with once the process has started so it’s sensible to be guided by a conveyancing solicitor during the process.
Leasehold premises in Biggin Hill with in excess of 100 years remaining on the lease are often regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your premises. In such situations there is often little to be gained by purchasing the freehold unless savings on ground rent and estate charges justify it.
| Lender | Requirement |
|---|---|
| Accord Mortgages | 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. |
| Barnsley Building Society | 60 years from the date of the mortgage application subject to 35 years remaining at the end of the mortgage term. |
| Birmingham Midshires | 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 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 |
Irrespective of whether you are a tenant or a landlord in Biggin 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 experience and the close ties they enjoy with Biggin Hill valuers.
Connor was the the leasehold proprietor of a conversion flat in Biggin Hill on the market with a lease of just over 59 years unexpired. Connor informally approached his freeholder being a well known Manchester-based freehold company for a lease extension. The freeholder was keen to give an extension on non-statutory terms taking the lease to 125 years on the basis of a rise in the rent to £125 annually. No ground rent would be payable on a lease extension were Connor to exercise his statutory right. Connor procured expert advice and secured satisfactory resolution informally and ending up with a market value flat.
Last Autumn we were approach by Mrs Shannon Taylor , who moved into a purpose-built apartment in Biggin Hill in July 2000. The dilemma was if we could approximate the premium would likely be for a ninety year extension to my lease. Comparative homes in Biggin Hill with 100 year plus lease were valued about £233,200. The mid-range ground rent payable was £60 billed annually. The lease ran out on 15 May 2087. Having 61 years remaining we estimated the compensation to the freeholder for the lease extension to be within £22,800 and £26,400 exclusive of fees.
An example of a Lease Extension case for a Biggin Hill flat 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 number of years remaining on the existing lease(s) was 50.57 years.