Owning a apartment usually means owning a lease of the property, which has a set term of years. your lease will ordinarily be granted for a fixed period of time , usually 99 or 125 years, although we have witnessed longer and shorter terms in Denmark Hill. Clearly, the period of lease left shortens as time goes by. This is often overlooked and only raises itself as an issue when the flat or house has to be sold or refinanced. The shorter the lease the less it is worth and the more it will cost to extend the lease. Qualifying long lease owners in Denmark Hill have the right to extend the lease for an additional 90 years under legislation. Please give due deliberation before delaying your Denmark Hill lease extension. Holding off that expense now likely increases the price you will eventually have to pay for a lease extension
It is generally accepted that a residential leasehold with over one hundred years unexpired lease term is worth roughly the same as a freehold. Where an further ninety years added to any lease with more than 45 years left, the premises will be equivalent in value to a freehold for many years in the future.
|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.|
|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.|
|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.
|TSB||Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption.|
|Royal Bank of Scotland||Mortgage term plus 30 years. For a Lifetime Mortgage, the term must be no less than 150 years minus the age of the Borrower.|
Lease extensions in Denmark Hill can be a difficult process. We recommend you get guidance from a conveyancer and valuer with experience in this area.
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 Denmark Hill lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
After protracted negotiations with the landlord of her ground floor apartment in Denmark Hill, Alice commenced the lease extension process just as her lease was approaching the critical eighty-year threshold. The legal work was concluded in August 2005. The freeholder’s charges were restricted to less than 450 GBP.
In 2010 we were called by Dr Alexander King who, having took over the lease of a purpose-built apartment in Denmark Hill in June 2000. The dilemma was if we could estimate the premium could be to prolong the lease by an additional years. Comparative premises in Denmark Hill with a long lease were in the region of £176,200. The average ground rent payable was £65 collected quarterly. The lease came to a finish in 2076. Given that there were 56 years outstanding we approximated the premium to the landlord to extend the lease to be between £29,500 and £34,000 plus expenses.
An example of a Freehold Enfranchisement decision for a Denmark Hill premises is 66 Southwell Road in March 2012. By Order of Deputy District Judge Stone dated 25 January 2012 a vesting order was made. The determination of the purchase price was referred to the Tribunal who decided that the amount payable for the freehold should be£29,612.00 This case affected 3 flats. The unexpired term was 72.58 years.