With a domestic leasehold premises in Maida Vale, you are actually purchasing an entitlement to live in a property for a set period of time. In recent years flat leases typically tend to be for 99 years or 125. Even though this may appear like a lengthy period of time, you may consider a lease extension sooner as opposed to later. Accepted thinking is that the shorter the number of years is the cost of extending the lease gets disproportionately greater especially when there are less than 80 years remaining. Leasehold owners in Maida Vale with a lease nearing 81 years unexpired should seriously think of extending it as soon as possible. When a lease has below eighty years outstanding, under the relevant Act the landlord can calculate and charge a greater premium, based on a technical multiplication, known as “marriage value” which is due.
Leasehold residencies in Maida Vale 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 situations there is often little to be gained by purchasing the freehold unless savings on ground rent and service charges justify it.
| Lender | Requirement |
|---|---|
| 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. |
| Halifax | Minimum 70 years from the date 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. |
| 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 gives you better control over the value of your Maida Vale leasehold, as your property will be more valuable and saleable in respect of lease length should you decide to sell. The conveyancers that we work with have a in-depth market knowledge handling many hundreds of lease extensions or freehold purchase transactions.
Following lengthy correspondence with the landlord of her first floor apartment in Maida Vale, Abbie started the lease extension process as the 80 year deadline was quickly approaching. The transaction was concluded in August 2011. The freeholder’s fees were kept to an absolute minimum.
Mrs Y Robinson completed a first floor apartment in Maida Vale in November 1996. The question was if we could approximate the price would be for a ninety year extension to my lease. Comparable properties in Maida Vale with 100 year plus lease were worth £210,000. The mid-range ground rent payable was £50 billed per annum. The lease finished in 2106. Having 80 years remaining we approximated the premium to the landlord for the lease extension to be within £8,600 and £9,800 not including professional charges.
An example of a Freehold Enfranchisement decision for a Maida Vale property is 4 & 4A Charteris Road in June 2009. the Tribunal held that the price to be paid for the enfranchisement of 4/4a Charteris Road to be £15,510 for at 4and £15,694 for at 4a This case affected 2 flats. The unexpired term was 70.02 years.