On the balance of probabilities if you own a flat in Copse Hill you actually own a long leasehold interest over your property
Leasehold residencies in Copse Hill with over one hundred years unexpired on the lease are often 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 buying the reversionary interest unless savings on ground rent and estate charges warrant 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. |
| 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. |
| Santander | You must report the unexpired lease term to us and await our instructions if: 1. the unexpired term assumed by our valuer is between 55 and 82 years, but the actual unexpired term differs by more than one year (whether longer or shorter); or 2. the unexpired term assumed by our valuer is more than 82 years but the actual unexpired term is less than 82 years; or 3. no valuation report is provided However, we will not accept a lease where on expiry of the mortgage: (i) less than 50 years remain and all or part of the loan is repaid on an interest-only basis: or (ii) less than 30 years remain and the loan is repaid on a capital and interest basis We will accept a lease that has been extended under the provisions of the Leasehold Reform Act 1993 provided statutory compensation would be available to the leaseholder. |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
| 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. |
Irrespective of whether you are a tenant or a freeholder in Copse Hill,the lease extension lawyers 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 Copse Hill valuers.
After lengthy negotiations with the landlord of her ground floor flat in Copse Hill, Anna initiated the lease extension process as the 80 year threshold was rapidly nearing. The lease extension was concluded in July 2012. The freeholder’s fees were kept to an absolute minimum.
Last month we were called by Mrs Kayleigh Davies , who owned a garden apartment in Copse Hill in June 2008. We are asked if we could estimate the compensation to the landlord would be for a 90 year extension to my lease. Comparative flats in Copse Hill with 100 year plus lease were valued about £256,600. The average ground rent payable was £60 collected yearly. The lease elapsed on 6 October 2077. Having 52 years left we estimated the premium to the freeholder to extend the lease to be within £39,000 and £45,000 not including professional charges.
An example of a Lease Extension decision for a Copse Hill flat is 83 Balvernie Grove in February 2012. The Tribunal assessed the price to be paid by the leaseholder to the freeholder for the lease extension pursuant to section 48 of the Leasehold Reform Housing & Urban Development Act 1993 should be£16,603.00 This case was in relation to 1 flat. The remaining number of years on the lease was 69.32 years.