The basic rule is, all other things holding equal, the shorter the lease the more expensive the premium. Qualifying leaseholders in East Twickenham may extend the lease for a further 90 years under legislation. Do give careful consideration before delaying your East Twickenham lease extension. Postponing that expense now simply escalates the amount you will ultimately be required to pay for a lease extension.
Leasehold properties in East Twickenham with in excess of 100 years left on the lease are sometimes referred to as ‘virtual freehold’. This is where the lease is worth 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 |
|---|---|
| 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. |
| Santander | If the property is leasehold, the remaining unexpired lease term at the end of the new mortgage term must be at least 50 years where any part of the mortgage is on Interest Only and 30 years if all loan parts are on Capital Repayment and Interest. You must report the unexpired lease term to us and await our instructions if:
|
| 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. |
Engaging our service gives you enhanced control over the value of your East Twickenham leasehold, as your property will be more valuable and marketable in relation to the lease length should you wish to sell. The conveyancing solicitors that we work with are well versed in the legislation handling many hundreds of lease extensions or freehold purchase transactions.
Subsequent to unsuccessful correspondence with the freeholder of her basement flat in East Twickenham, Paige commenced the lease extension process just as her lease was coming close to the all-important 80-year mark. The transaction was finalised in September 2005. The freeholder’s costs were restricted to about 700 pounds.
In 2009 we were phoned by Dr M Allen who, having moved into a one bedroom apartment in East Twickenham in July 2010. We are asked if we could shed any light on how much (approximately) compensation to the landlord would likely be for a ninety year lease extension. Comparative homes in East Twickenham with 100 year plus lease were valued around £250,400. The average ground rent payable was £65 collected annually. The lease lapsed on 10 July 2090. Having 64 years left we estimated the premium to the freeholder for the lease extension to be between £19,000 and £22,000 exclusive of costs.
An example of a Lease Extension decision for a East Twickenham premises is Ground Floor Flat 91 Bath Road in May 2009. in a case where the freeholder could not be traced, the Brentford County Court ordered that the Lease be surrendered in return for the grant of a new lease of the Premises at a premium determined by the Leasehold Valuation Tribunal. The tribunal concluded that the price payable by the Applicant for the new lease of the premises be £15,900 This case affected 1 flat. The unexpired term as at the valuation date was 60.45 years.