Chances are that where you own a flat in Ladbroke Grove you actually own a long leasehold interest over your property
Leasehold residencies in Ladbroke Grove with more than one hundred years unexpired on the lease are often regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your premises. In such circumstances there is often little upside in purchasing the reversionary interest unless savings on ground rent and service charges merit it.
| Lender | Requirement |
|---|---|
| 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. |
| Godiva Mortgages | 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. |
| 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 |
| TSB | Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption. |
| 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. |
The conveyancing solicitors that we work with undertake Ladbroke Grove lease extensions and help protect your position. A lease extension can be arranged to be completed to coincide with a change of ownership so the costs of the lease extension are paid for using part of the sale proceeds. You really do need expert legal advice in this difficult and technical area of law. The conveyancing solicitor we work with provide it.
Andrew owned a high value apartment in Ladbroke Grove being sold with a lease of a few days over fifty eight years outstanding. Andrew informally approached his landlord being a well known London-based freehold company for a lease extension. The landlord indicated a willingness to grant an extension taking the lease to 125 years on the basis of a new rent initially set at £150 per annum and doubled every twenty five years thereafter. Ordinarily, ground rent would not be due on a lease extension were Andrew to invoke his statutory right. Andrew procured expert advice and secured satisfactory deal informally and readily saleable.
Dr M André moved into a studio apartment in Ladbroke Grove in June 2007. We are asked if we could estimate the price could be for a ninety year extension to my lease. Comparative flats in Ladbroke Grove with 100 year plus lease were valued around £186,000. The average ground rent payable was £65 collected per annum. The lease ended in 2084. Given that there were 58 years left we estimated the compensation to the landlord to extend the lease to be between £24,700 and £28,600 exclusive of expenses.
An example of a Lease Extension matter before the tribunal for a Ladbroke Grove residence is Flat 1 57 Oxford Gardens in January 2014. the Tribunal decided that the premium to be paidfor a new lease is £61,650.00. This case affected 1 flat. The unexpired residue of the current lease was 60 years.