Why you should start your Gants Hill lease extension
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Why you should commence your Gants Hill lease extension today: </h3>
<h4> A <a href="http://www.lendermonitor.com/conveyancing/loc/gants-hill">Gants Hill</a> lease depreciates with the years remaining on the lease.
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Gants Hill leases on residential properties are gradually losing value. if your lease has in the region of ninety years left, you should start considering the need for a lease extension. Eighty years is a significant number: when the remaining term of a lease drops below this level then you begin incurring an additional element called marriage value. Leasehold owners in Gants Hill will mostly qualify for a lease extension; however it’s a good idea to check with a conveyancing solicitor to check if you qualify. In some situations you may not qualify. There are prescribed timetables and steps to comply with once the process is initiated so it’s prudent to be guided by a conveyancing solicitor during the process.
<h4>An extended lease is almost the same value as a freehold</h4>
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Leasehold premises in Gants Hill with more than one hundred years outstanding on the lease are often regarded as a ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your home. In such situations there is often little upside in purchasing the reversionary interest unless savings on ground rent and service charges merit it. <h4>Mortgage lenders will not loan monies on a short lease</h4>
Most banks have constrained their lending criteria in the last ten years and borrowers are finding it increasingly difficult to raise finance or re-mortgage against flats with shorter lease terms, particularly under seventy years as they are considered to be insufficient for lending purposes.
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<tr><th>Lender</th>
<th> Requirement
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<td>Barclays plc</td>
<td> Leases with less than 70 years at the commencement of the mortgage should be declined (see exception below).<br /><br />Leases with greater than 70 years but fewer than 85 years remaining must be referred to issuing office.<br /><br />Leases with fewer than 70 years should only be referred to the issuing office where the following scenario applies, as discretion may be applied subject to bank approval:<br /><br />• Property is located in any of the following prestigious developments: Cadogan, Crown, Grosvenor, Howard de Walden, Portman or Wellcome Trust Estates in Central London AND<br />• The value of the property subject to the short remaining term is £500,000 or more AND<br />• The loan to value does not exceed 90% for purchases, 90% like for like re-mortgages, 80% for re-mortgages with any element of capital raising and 80% for existing Barclays mortgage borrowers applying for additional borrowing;
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<td>Barnsley Building Society</td>
<td> 60 years from the date of the mortgage application subject to 35 years remaining at the end of the mortgage term.
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<td>Skipton Building Society</td>
<td> 85 years from the date of completion of the mortgage<br /><br />For Buy to Let cases:<br />- lettings must not breach any of the lessee’s covenants; and<br />- consent of the lessor to lettings must be obtained if necessary
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<td>TSB</td>
<td> Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption.
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<td>Yorkshire Building Society</td>
<td> 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.
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<h4> Get in touch with one of our Gants Hill lease extension solicitors or enfranchisement solicitors
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Lease extensions in Gants Hill can be a difficult process. We recommend you procure guidance from a conveyancer and valuer well versed in the legislation and lease extension process.
<p>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 procuring Gants Hill lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
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Gants Hill Lease Extension Case Summaries:
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<h5> Rachel, Gants Hill, Essex,</h5>
<p> Trailing unsuccessful discussions with the landlord of her one bedroom flat in Gants Hill, Rachel initiated the lease extension process as the eighty year deadline was rapidly advancing. The lease extension completed in May 2012. The landlord’s charges were negotiated to below 650 pounds.
<h5>Gants Hill case:</h5>
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In 2013 we were called by Ms C Campbell who, having was assigned a lease of a purpose-built apartment in Gants Hill in March 2003. The dilemma was if we could estimate the price would likely be for a ninety year lease extension. Comparable premises in Gants Hill with an extended lease were worth £210,000. The average amount of ground rent was £50 invoiced quarterly. The lease finished in 2106. Having 80 years outstanding we approximated the premium to the freeholder to extend the lease to be within £8,600 and £9,800 plus costs.
<div> <h5>Decision in Redbridge</h5>
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An example of a Freehold Enfranchisement decision for a Gants Hill residence is
59 & 59a Clarendon Gardens in February 2014. The Tribunals valuation for the freehold was £30,073.00
The unexpired term was 65 and 61.
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