Plumstead leases on residential deteriorating in value. if your lease has about ninety years left, you should start thinking about a lease extension. If lease term dips under eighty years, you will then have to pay half of the property's 'marriage value' in addition to the usual cost of the lease extension to your landlord. Marriage value is the amount of extra value that a lease extension will add to the property. Flat owners in Plumstead will usually be legally entitled to a lease extension; however a solicitor will confirm if you qualify. In certain cases you may not qualify. There are also strict timetables and procedures to follow once the process has commenced so it’s sensible to be guided by a conveyancing solicitor during the process.
Leasehold properties in Plumstead with over 100 years outstanding on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your premises. In such situations there is often little upside in buying the reversionary interest unless savings on ground rent and maintenance charges merit it.
| Lender | Requirement |
|---|---|
| Chelsea Building Society | |
| Coventry Building Society | |
| Halifax | |
| Nationwide Building Society | |
| Virgin |
Irrespective of whether you are a tenant or a freeholder in Plumstead,the lease extension lawyers that we work with will always be happy to discuss any residential leasehold matters and offer you the benefit of their in-depth market knowledge and the close ties they enjoy with Plumstead valuers.
In the wake of 9 months of unsuccessful negotiations with the freeholder of her leasehold flat in Plumstead, Gemma commenced the lease extension process as the eighty year mark was fast approaching. The lease extension was finalised in October 2009. The landlord’s fees were kept to an absolute minimum.
Last year we were contacted by Dr L Khan , who took over the lease of a purpose-built apartment in Plumstead in February 2010. The question was if we could estimate the price would be to prolong the lease by ninety years. Similar premises in Plumstead with an extended lease were worth £193,400. The mid-range amount of ground rent was £65 invoiced annually. The lease concluded in 2085. Given that there were 59 years as a residual term we approximated the compensation to the landlord to extend the lease to be within £21,900 and £25,200 plus fees.
An example of a Lease Extension matter before the tribunal for a Plumstead premises is 103a Footscray Road in January 2014. The tribunal determines that the premium payable for the extended lease should be £34,500 according to the expert witness valuation calculation This case related to 1 flat.