Owning a apartment usually means owning a lease of the property, this is a ‘time-limited’ interest becoming shorter every day. your lease will ordinarily be granted for a fixed period of time , usually 99 or 125 years, although we have come across longer and shorter terms in Emerson Park. Clearly, the period of lease remaining reduces as time goes by. This is often overlooked and only becomes a problem when the residence has to be disposed of or re-mortgaged. The shorter the lease the lower the value of the property and the more it will cost to obtain a lease extension. Qualifying leaseholders in Emerson Park have the legal entitlement to extend the lease for a further ninety years under the 1993 Leasehold Reform Act. You should give due consideration before delaying your Emerson Park lease extension. Holding off the cost now simply increases the price you will ultimately incur for a lease extension
It is generally considered that a property with more than 100 years remaining is worth approximately the same as a freehold. Where an additional ninety years added to all but the shortest lease, the premises will be equivalent in value to a freehold for decades to come.
| 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. |
| Halifax | 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. |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
| 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. |
Lease extensions in Emerson Park can be a difficult process. We recommend you obtain guidance from a conveyancer and surveyor 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 dealing with Emerson Park lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Jude owned a 2 bedroom apartment in Emerson Park on the market with a lease of just over fifty eight years outstanding. Jude on an informal basis approached his landlord being a well known local-based freehold company for a lease extension. The freeholder was prepared to give an extension on non-statutory terms taking the lease to 125 years subject to a rise in the rent to £100 yearly. Ordinarily, ground rent would not be due on a lease extension were Jude to invoke his statutory right. Jude procured expert legal guidance and was able to make a more informed decision and handle with the matter and sell the property.
Ms Francesca Parker owned a recently refurbished apartment in Emerson Park in June 1997. We are asked if we could estimate the compensation to the landlord would likely be to extend the lease by a further 90 years. Identical properties in Emerson Park with an extended lease were valued about £280,000. The average ground rent payable was £55 invoiced every twelve months. The lease terminated in 2104. Taking into account 78 years as a residual term we estimated the compensation to the landlord to extend the lease to be within £13,300 and £15,400 plus costs.
An example of a Lease Extension case for a Emerson Park residence is 37 Lodge Court High Street in November 2013. the decision of the LVT was that the premium to be paid for the new lease was £25,559 This case was in relation to 1 flat. The unexpired lease term was 57.5 years.