The basic rule is, all other things holding equal, the shorter the lease the more costly the premium. Qualifying leaseholders in Plaistow may extend the lease for an additional ninety years under the 1993 Leasehold Reform Act. Do give careful consideration before delaying your Plaistow lease extension. Putting off that expense today simply increases the premium you will eventually have to pay for a lease extension.
It is generally considered that a residential leasehold with in excess of one hundred years remaining is worth approximately the same as a freehold. Where an further ninety 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 |
|---|---|
| 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. |
| Halifax | Minimum 70 years from the date of the mortgage. |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
Irrespective of whether you are a tenant or a freeholder in Plaistow,the lease extension solicitors that we work with will always be willing to discuss any residential leasehold matters and offer you the benefit of their in-depth market knowledge and the close ties they enjoy with Plaistow valuers.
Last year David, came critically near to the 80-year mark with the lease on his basement apartment in Plaistow. Having bought his flat two decades ago, the lease term was of little concern. Fortunately, he became aware that he would soon be paying an inflated amount for Extending the lease. David arranged for a lease extension just under the wire last April. David and the landlord ultimately agreed on the final figure of £5,000 . If he had missed the deadline, the amount would have gone up by a minimum £1,075.
Mr E Sharif owned a newly refurbished apartment in Plaistow in August 2006. We are asked if we could approximate the compensation to the landlord would likely be to prolong the lease by an additional years. Comparative premises in Plaistow with an extended lease were worth £265,000. The mid-range amount of ground rent was £55 invoiced every twelve months. The lease lapsed on 24 September 2099. Given that there were 74 years unexpired we approximated the premium to the landlord for the lease extension to be within £9,500 and £11,000 exclusive of costs.
An example of a Lease Extension decision for a Plaistow residence is 46 Credon Road in January 2014. On 11 September 2013 Deputy District Judge Price sitting at the Bow County Court made a vesting order that the freeholder surrender his lease and be granted a new lease of the Premises on such terms as may be determined by the First Tier Tribunal (Property Chamber).The appropriate sum as concluded by the Tribunal was £7225 This case affected 1 flat. The remaining number of years on the lease was 69.77 years.