There is no doubt about it a leasehold property in Esher is a wasting asset as a result of the shortening lease. If the lease has, beyond one hundred years remaining then this decrease may be fractional that being said there will become a stage when a lease has under than eighty years remaining as part of the premium you will incur is what is termed as a marriage value. This could increase sharply the cost. It is the main reason why you should consider extending sooner than later. Many flat owners in Esher will meet the qualifying criteria; nevertheless a lawyer will be able to confirm whether you are eligible for a lease extension. In limited situations you may not qualify, the most frequent reason being that you have not been the owner of the property for two years.
It is generally considered that a property with more than one hundred years unexpired lease term is worth approximately the equivalent as a freehold. Where an additional ninety years added to all but the shortest lease, the residence 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. |
| Birmingham Midshires | Minimum 70 years from the date of the mortgage. |
| Godiva Mortgages | 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. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
Regardless of whether you are a tenant or a freeholder in Esher,the lease extension experts that we work with will always be prepared to discuss any residential leasehold matters and offer you the benefit of their experience and the close ties they enjoy with Esher valuers.
Half a year ago Jason, came dangerously near to the eighty-year mark with the lease on his studio flat in Esher. In buying his property two decades ago, the unexpired term was of minimal importance. by good luck, it dawned on him that he would soon be paying way over the odds for Extending the lease. Jason arranged for a lease extension just under the wire last April. Jason and the landlord who owned the flat above ultimately agreed on the final figure of £5,500 . If the lease had slipped below 80 years, the amount would have become more exhorbitant by at least £1,100.
In 2014 we were e-mailed by Mr and Mrs. J Rivera who, having acquired a one bedroom apartment in Esher in April 2000. We are asked if we could approximate the premium would likely be for a ninety year lease extension. Comparative flats in Esher with 100 year plus lease were valued around £225,400. The mid-range amount of ground rent was £45 invoiced quarterly. The lease end date was on 27 November 2089. Given that there were 64 years remaining we estimated the compensation to the freeholder for the lease extension to be between £16,200 and £18,600 plus costs.
An example of a Lease Extension decision for a Esher flat is Flat D 15 Claremont Gardens in September 2013. TheTribunal determined in accordance with section48 and Schedule13 of the Leasehold Reform,Housing and Urban Development Act 1993 that the premium for the extended lease should be fourteen thousand one hundred and eighty seven pounds (£14,187.00) This case was in relation to 1 flat.