The re-sale value of a leasehold property in Kenton is impacted by how many years the lease has remaining. If it is close to or fewer than 80 years you should foresee problems on re-sale, so it is recommended to arrange for the lease to be extended before buying. It is ideal to start the process of extending the lease is when a lease still has 82 years to run so that formalities can be finalised prior to the 80 year threshold. Current legislation entitles Kenton qualifying lessees to acquire a new lease which will be for the balance of the existing lease plus a further term of ninety years. The reason of the valuation is to determine the sum payable by the lessee to the freeholder for the purchase of the lease extension.
It is conventional wisdom that a residential leasehold with in excess of 100 years remaining is worth roughly the equivalent as a freehold. Where an additional ninety years added to any lease with more than 35 years remaining, the premises will be worth the same as 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. |
| Birmingham Midshires | Minimum 70 years from the date of the mortgage. |
| National Westminster Bank | Mortgage term plus 30 years. For Shared Ownership, the remaining term of the lease must be at least 30 years plus the term of the mortgage at the outset of the mortgage. |
| TSB | Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption. |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
Lease extensions in Kenton can be a difficult process. We recommend you procure guidance from a conveyancer and surveyor with experience in this area.
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 Kenton lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Subsequent to protracted correspondence with the freeholder of her one bedroom apartment in Kenton, Georgia commenced the lease extension process just as her lease was approaching the crucial eighty-year threshold. The legal work completed in October 2008. The landlord’s costs were negotiated to slightly above 500 GBP.
In 2009 we were called by Mr and Mrs. N Bell who, having took over the lease of a purpose-built flat in Kenton in October 2011. We are asked if we could estimate the compensation to the landlord would likely be to prolong the lease by a further 90 years. Comparative properties in Kenton with an extended lease were worth £300,000. The mid-range ground rent payable was £50 collected every twelve months. The lease ended on 6 November 2101. Taking into account 75 years left we estimated the premium to the landlord to extend the lease to be within £8,600 and £9,800 not including costs.
An example of a Freehold Enfranchisement matter before the tribunal for a Kenton flat is 139/139A Masons Avenue in February 2010. this was a case with an absentee freeholder. As a result the leaseholders applied to Willesden County Court for an order dispensing with the giving of a notice of claim.14th October 2009 District Judge Brar granted a vesting order and the court directed that the matter should be transferred to this tribunal to determine the freehold premium. The tribunal concluded on a figure of £13,000 for the freehold interest This case affected 1 flat. The unexpired term was 74 years.