There is no doubt about it a leasehold property in Grahame Park is a wasting asset as a result of the diminishing lease term. If the lease has, beyond 99 years to run then this decrease may be fractional however there will become a stage when a lease has less than eighty years remaining as part of the premium you will incur is what is termed as a marriage value. This could increase markedly the cost. It is the main rational as to why you should consider extending without delay. Many flat owners in Grahame Park will meet the qualifying criteria; however a conveyancing solicitor can confirm whether you are eligible to extend your lease. In certain situations you may not qualify, the most common reason being that you have not been the owner of the property for two years.
It is conventional wisdom that a residential leasehold with over one hundred years unexpired lease term is worth roughly the equivalent as a freehold. Where an additional 90 years added to any lease with more than 35 years left, the property will be equivalent in value to a freehold for many years ahead.
| 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. |
| Chelsea 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. |
| Coventry Building Society | 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. |
| Lloyds TSB Scotland | Minimum 70 years from the date 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 |
Engaging our service will provide you better control over the value of your Grahame Park leasehold, as your property will be more valuable and marketable in relation to the lease length should you decide to sell. The lawyers that we work with have a wealth of experience of handling many hundreds of lease extensions or freehold purchase transactions.
14 months ago Sebastian, started to get near to the eighty-year mark with the lease on his leasehold apartment in Grahame Park. In buying his flat 19 years previously, the length of the lease was of little interest. Fortunately, he noticed he needed to take action soon on a lease extension. Sebastian was able to extend his lease at the eleventh hour in April. Sebastian and the freeholder ultimately settled on a premium of £5,500 . If he not met the deadline, the price would have escalated by a minimum £1,000.
Mrs Kate Norbert purchased a newly refurbished flat in Grahame Park in September 2000. The question was if we could estimate the compensation to the landlord would be to prolong the lease by ninety years. Comparative residencies in Grahame Park with a long lease were in the region of £260,000. The average ground rent payable was £50 invoiced monthly. The lease lapsed in 2097. Taking into account 72 years outstanding we approximated the compensation to the freeholder to extend the lease to be between £9,500 and £11,000 not including fees.
An example of a Freehold Enfranchisement matter before the tribunal for a Grahame Park residence is 1 & 1A Sunningfields Crescent in September 2013. The Tribunals calculation of the amount to be paid into court in respect of the value of the freehold interest is £11,997 in respect of Flat 1 and £15,781 in respect of Flat 1A for a total of £27,778. This case related to 2 flats. The remaining number of years on the lease was 71.5 years.