The closer a residential lease in Page Green nears to zero years unexpired, the more it reduces the value of the property. Where the lease has, over 125 years to run then this decrease may be of little impact however there will become a point in time when a lease has under than eighty years unexpired as part of the premium you will incur is what is known as a marriage value. This could increase sharply the cost. It is the main rational as to why you should consider extending without delay. Many flat owners in Page Green will meet the qualifying criteria; that being said a lawyer should be able to advise whether you are eligible to extend your lease. In certain situations you may not qualify, the most frequent reason being that you have not been the owner of the property for two years.
It is generally considered that a residential leasehold with more than one hundred years unexpired lease term is worth roughly the same as a freehold. Where an additional ninety years added to any lease with more than 35 years remaining, the premises will be worth the same as a freehold for decades to come.
| 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. |
| 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. |
| 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. |
Regardless of whether you are a tenant or a landlord in Page Green,the lease extension lawyers that we work with will always be willing to discuss any residential leasehold matters and offer you the benefit of their experience and the close ties they enjoy with Page Green valuers.
During the course of the last few months Ben, started to get near to the eighty-year threshold with the lease on his first floor apartment in Page Green. In buying his flat 18 years previously, the unexpired term was of little relevance. Luckily, he recognised he needed to take steps soon on a lease extension. Ben was able to extend his lease just in the nick of time last April. Ben and the landlord subsequently settled on sum of £5,500 . If he had missed the deadline, the price would have become more costly by a minimum £925.
Mrs K Reed bought a one bedroom flat in Page Green in June 1996. The question was if we could approximate the premium would likely be to extend the lease by a further 90 years. Similar properties in Page Green with a long lease were in the region of £257,800. The average amount of ground rent was £65 billed yearly. The lease expiry date was on 10 May 2091. Given that there were 65 years left we approximated the compensation to the landlord to extend the lease to be between £18,100 and £20,800 plus professional charges.
An example of a Freehold Enfranchisement decision for a Page Green residence is 22 Wakefield Road in January 2012. Following a vesting order Clerkenwell and Shoreditch County Court under section 26 of the Leasehold Reform,Housing and Urban Development Act 1993 on 9th May 2011 the Tribunal decided that the price that the Applicant for the freehold interest should pay is £17,400 This case related to 2 flats. The unexpired term was 74.13 years.