Forestdale leases on residential deteriorating in value. Where your lease has about 90 years unexpired, you should start thinking about a lease extension. It is important to recognise that it is that it is financially advisable for a lease extension to take place before the term of the current lease falls below 80 years - otherwise a higher premium will be payable. Flat owners in Forestdale will usually be legally entitled to a lease extension; however a solicitor should be able confirm if you qualify. In some situations you may not be entitled. There are prescribed deadlines and steps to comply with once the process is initiated so it’s best to be guided by a conveyancing solicitor during the process.
Leasehold premises in Forestdale with over one hundred years remaining on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your premises. In such circumstances there is often little to be gained by purchasing the reversionary interest unless savings on ground rent and service charges merit it.
| Lender | Requirement |
|---|---|
| Accord Mortgages | 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. |
| Bank of Scotland | 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. |
| Skipton Building Society | 85 years from the date of completion of the mortgage For Buy to Let cases: - lettings must not breach any of the lessee’s covenants; and - consent of the lessor to lettings must be obtained if necessary |
Lease extensions in Forestdale can be a difficult process. We recommend you get guidance from a conveyancer and surveyor with experience in lease extensions.
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 a wealth of experience dealing with Forestdale lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
In the wake of eight months of protracted negotiations with the freeholder of her garden flat in Forestdale, Jasmine started the lease extension process as the eighty year deadline was quickly nearing. The lease extension was finalised in February 2014. The landlord’s costs were negotiated to under 450 GBP.
In 2013 we were contacted by Mr and Mrs. G Mason who, having owned a first floor apartment in Forestdale in June 1998. The question was if we could approximate the compensation to the landlord would be to prolong the lease by ninety years. Identical residencies in Forestdale with a long lease were in the region of £198,800. The mid-range ground rent payable was £55 invoiced monthly. The lease came to a finish on 15 February 2081. Given that there were 55 years remaining we calculated the premium to the freeholder to extend the lease to be between £33,300 and £38,400 plus expenses.
An example of a Freehold Enfranchisement case for a Forestdale premises is The Woodlands 95 Purley Park Road in April 2009. The Tribunals own valuation produced the figure of £37,912. This case related to 6 flats. The unexpired residue of the current lease was 78.32 years.