The nearer a domestic lease in Laleham gets to zero years unexpired, the the greater the reduction in the value of the property. Where the residual term has, beyond 125 years to run then this decrease may be negligible nevertheless 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 sharply the cost. It is the primary reason why you should consider extending without delay. Many flat owners in Laleham will qualify for this right; that being said a lawyer should be able to advise if you qualify to extend your lease. In limited situations you may not qualify, the most frequent reason being that you have owned the property for under two years.
It is conventional wisdom that a residential leasehold with in excess of one hundred years remaining is worth roughly the equivalent as a freehold. Where an additional 90 years added to all but the shortest lease, the residence will be worth the same as a freehold for many years in the future.
| 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. |
| National Westminster Bank | Mortgage term plus 30 years. |
| 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. |
Engaging our service will provide you enhanced control over the value of your Laleham leasehold, as your property will be more valuable and marketable in respect of lease length should you decide to sell. The conveyancing solicitors that we work with are well versed in the legislation handling many hundreds of lease extensions or freehold purchase transactions.
Eli owned a high value apartment in Laleham on the market with a lease of a few days over 72 years left. Eli on an informal basis approached his freeholder being a well known London-based freehold company for a lease extension. The freeholder 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 Eli to invoke his statutory right. Eli obtained expert legal guidance and was able to make a more informed judgement and handle with the matter and sell the flat.
In 2014 we were phoned by Mr and Mrs. C Watson who, having moved into a ground floor flat in Laleham in February 1998. The dilemma was if we could estimate the price would be for a ninety year extension to my lease. Similar residencies in Laleham with an extended lease were in the region of £270,000. The average amount of ground rent was £55 invoiced per annum. The lease ran out in 2101. Having 76 years remaining we approximated the premium to the landlord for the lease extension to be between £9,500 and £11,000 plus costs.
An example of a Lease Extension decision for a Laleham residence is 147 Redford Close in June 2012. The Tribunal determined the lease extension premium to be at £4,200 This case affected 1 flat. The unexpired residue of the current lease was 82.93 years.