The rule of thumb is, all other factors being equal, the shorter the lease the more costly the premium. Qualifying leaseholders in Hither Green can extend the lease for a further ninety years under statute. Do give careful consideration before delaying your Hither Green lease extension. Putting off the costs now simply escalates the premium you will eventually be required to pay for a lease extension.
Leasehold properties in Hither Green with in excess of one hundred years outstanding on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your home. In such circumstances there is often little to be gained by purchasing the freehold unless savings on ground rent and estate charges justify 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. |
| 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. |
| Halifax | Minimum 70 years from the date 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. |
| 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 landlord in Hither Green,the lease extension experts that we work with will always be willing to discuss any residential leasehold matters and offer you the benefit of their experience and the close ties they enjoy with Hither Green valuers.
After unsuccessful correspondence with the freeholder of her ground floor flat in Hither Green, Erin commenced the lease extension process just as the lease was coming close to the all-important 80-year mark. The legal work was finalised in March 2009. The freeholder’s costs were negotiated to below 550 pounds.
In 2009 we were e-mailed by Mr and Mrs. L Baker who, having bought a one bedroom flat in Hither Green in April 2012. The dilemma was if we could estimate the premium could be for a ninety year extension to my lease. Comparative premises in Hither Green with 100 year plus lease were worth £270,000. The average ground rent payable was £55 billed yearly. The lease concluded in 2100. Having 75 years left we calculated the compensation to the landlord to extend the lease to be between £9,500 and £11,000 not including fees.
An example of a Freehold Enfranchisement case for a Hither Green property is 18 Handen Road in April 2013. On 26 October 2012 District Judge Zimmels sitting at the Lambeth County Court made a Vesting Order that the Applicants be granted the right to acquire the freehold upon such terms and at such price determined by the LVT. The Tribunal arrived a figure of £39,535 as a valuation for the enfranchisement. This case affected 3 flats. The remaining number of years on the lease was 69.05 years.