Gants Hill leases on domestic deteriorating in value. Where your lease has approximately ninety years left, you should start thinking about a lease extension. An important point to note is that it is desirable for the lease extension to be in place before the term of the existing lease drops below eighty years - otherwise a higher premium will be due. Leasehold owners in Gants Hill will usually be legally entitled to a lease extension; however It would be wise to check with a conveyancing solicitor to confirm if you qualify. In some circumstances you may not be entitled. There are prescribed deadlines and steps to follow once the process has started so it’s prudent to be guided by a lawyer during the process.
It is conventional wisdom that a residential leasehold with over 100 years unexpired lease term is worth roughly the same as a freehold. Where an further ninety years added to all but the shortest lease, the property will be equivalent in value to a freehold for many years ahead.
| Lender | Requirement |
|---|---|
| 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 |
| TSB | Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption. |
| 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. |
Regardless of whether you are a tenant or a freeholder in Gants Hill,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 in-depth market knowledge and the close ties they enjoy with Gants Hill valuers.
Last year Cameron, came seriously close to the 80-year threshold with the lease on his first floor apartment in Gants Hill. Having bought his home 18 years previously, the length of the lease was of little significance. Thankfully, it dawned on him that he needed to take action soon on a lease extension. Cameron arranged for a lease extension at the eleventh hour in May. Cameron and the freeholder via the managing agents subsequently settled on the final figure of £5,000 . If he had missed the deadline, the figure would have escalated by a minimum £1,100.
In 2014 we were e-mailed by Dr J Ward who, having purchased a one bedroom apartment in Gants Hill in May 2003. The dilemma was if we could estimate the compensation to the landlord could be for a 90 year lease extension. Identical residencies in Gants Hill with an extended lease were valued around £285,000. The average amount of ground rent was £45 invoiced monthly. The lease ended in 2097. Having 72 years left we approximated the compensation to the freeholder for the lease extension to be within £12,400 and £14,200 not including fees.
An example of a Freehold Enfranchisement decision for a Gants Hill property is 59 & 59a Clarendon Gardens in February 2014. The Tribunals valuation for the freehold was £30,073.00 The unexpired term as at the valuation date was 65 and 61.