On the balance of probabilities where you own a flat in Neasden you actually own a long leasehold interest over your property
Leasehold residencies in Neasden with in excess of one hundred years left on the lease are sometimes 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 buying the freehold unless savings on ground rent and maintenance charges merit it.
| 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. |
| Halifax | Minimum 70 years from the date 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 Neasden can be a difficult process. We recommend you procure professional help from a conveyancer and surveyor well versed in the legislation and lease extension process.
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 in-depth market knowledge procuring Neasden lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Half a year ago Dylan, came dangerously near to the 80-year threshold with the lease on his first floor flat in Neasden. Having bought his flat two decades ago, the unexpired term was of little importance. Fortunately, he became aware that he needed to take action soon on Extending the lease. Dylan extended the lease just under the wire last March. Dylan and the landlord in the end settled on the final figure of £5,000 . If the lease had fallen to less than eighty years, the sum would have increased by at least £1,125.
In 2014 we were called by Dr O Cook who, having took over the lease of a recently refurbished flat in Neasden in June 2000. We are asked if we could estimate the premium would likely be for a ninety year lease extension. Similar homes in Neasden with 100 year plus lease were in the region of £246,800. The average ground rent payable was £60 billed annually. The lease came to a finish in 2074. Given that there were 50 years unexpired we calculated the premium to the freeholder to extend the lease to be between £44,700 and £51,600 exclusive of legals.
An example of a Freehold Enfranchisement matter before the tribunal for a Neasden property is 12 & 12A Deacon Road in May 2010. the Tribunal concluded that the price to be paid for the freehold should be £38,287 This case related to 2 flats. The unexpired term as at the valuation date was 65.58 years.