Kings Heath leases on residential deteriorating in value. if your lease has about ninety years left, you should start considering the need for a lease extension. 80 years is a significant number: when the remaining term of a lease dips below this level then you begin incurring an additional element called marriage value. Leasehold owners in Kings Heath will usually be legally entitled to a lease extension; however it’s a good idea to check with a conveyancer to confirm your eligibility. In some circumstances you may not be entitled. There are prescribed timetables and steps to comply with once the process has started so it’s best to be guided by a conveyancer during the process.
It is generally accepted that a property with in excess of 100 years unexpired lease term is worth roughly the same as a freehold. Where an additional 90 years added to all but the shortest lease, the premises will be worth the same as a freehold for decades to come.
| Lender | Requirement |
|---|---|
| Birmingham Midshires | Minimum 70 years from the date of the mortgage. |
| 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. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
| Lloyds TSB Scotland | 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. |
Lease extensions in Kings Heath can be a difficult process. We recommend you secure guidance from a conveyancing solicitor and surveyor with experience in lease extensions.
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 Kings Heath lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Evan owned a studio flat in Kings Heath on the market with a lease of a few days over 61 years remaining. Evan on an informal basis approached his freeholder a well known Manchester-based freehold company for a lease extension. The freeholder was keen to agree an extension on non-statutory terms taking the lease to 125 years subject to an increased rent to £200 per annum. Ordinarily, ground rent would not be payable on a lease extension were Evan to invoke his statutory right. Evan procured expert advice and was able to make an informed decision and handle with the matter and ending up with a market value flat.
In 2011 we were approached by Dr S Cooper who, having acquired a newly refurbished apartment in Kings Heath in February 1998. The question was if we could shed any light on how much (approximately) premium could be for a 90 year lease extension. Similar residencies in Kings Heath with 100 year plus lease were worth £257,800. The mid-range ground rent payable was £65 invoiced quarterly. The lease expired in 2090. Having 65 years remaining we approximated the compensation to the freeholder for the lease extension to be within £18,100 and £20,800 exclusive of legals.
In 2012 we were contacted by Mr and Mrs. N Cox who, having took over the lease of a newly refurbished flat in Kings Heath in March 2011. The question was if we could approximate the price could be to prolong the lease by a further 90 years. Comparative flats in Kings Heath with an extended lease were in the region of £198,800. The mid-range ground rent payable was £55 billed yearly. The lease concluded on 17 March 2080. Having 55 years remaining we estimated the compensation to the landlord for the lease extension to be within £33,300 and £38,400 not including legals.