There is no doubt about it a leasehold flat or house in Chislehurst is a wasting asset as a result of the shortening lease. If the residual term has, beyond one hundred years remaining then this decrease may be fractional nevertheless there will become a point in time when a lease has fewer than 80 years remaining as part of the premium you will incur is what is known as a marriage value. This could increase markedly the cost. It is the primary logic behind why you should extend the lease without delay. Many flat owners in Chislehurst will qualify for this right; that being said a conveyancing solicitor can advise if you are eligible for a lease extension. In limited situations you may not qualify, the most common reason being that you have owned the property for under two years.
It is generally considered that a property with in excess of 100 years remaining is worth approximately the equivalent as a freehold. Where an additional 90 years added to all but the shortest lease, the premises will be equivalent in value to a freehold for many years ahead.
| 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. |
| Chelsea 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. |
| Halifax | Minimum 70 years from the date of the mortgage. |
| 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. |
Using our service gives you better control over the value of your Chislehurst leasehold, as your property will be more valuable and saleable in relation to the lease length should you want to sell. The lawyers that we work with have a in-depth market knowledge handling many hundreds of lease extensions or freehold purchase transactions.
In the wake of 6 months of unsuccessful correspondence with the freeholder of her one bedroom apartment in Chislehurst, Georgina initiated the lease extension process just as the lease was nearing the crucial 80-year threshold. The lease extension was finalised in April 2007. The freeholder’s charges were negotiated to less than five hundred pounds.
Dr S Bernard moved into a garden apartment in Chislehurst in March 2012. The dilemma was if we could estimate the compensation to the landlord could be for a 90 year extension to my lease. Identical premises in Chislehurst with 100 year plus lease were valued about £200,000. The mid-range amount of ground rent was £50 billed per annum. The lease terminated on 10 November 2102. Considering the 77 years unexpired we calculated the compensation to the freeholder to extend the lease to be between £8,600 and £9,800 not including fees.
An example of a Lease Extension matter before the tribunal for a Chislehurst property is 70 Andace Park Gardens 133-149 Widmore Road in November 2013. Tribunal determined that the premium payable for the lease extension was £10,052 This case affected 1 flat. The unexpired lease term was 72 years.