On the balance of probabilities if you own a flat in Ruislip Manor you actually own a long leasehold interest over your property
Leasehold residencies in Ruislip Manor with in excess of 100 years outstanding on the lease are sometimes referred to as ‘virtual freehold’. This is where the lease value the same as a freehold interest in your premises. In such situations there is often little upside in purchasing the reversionary interest unless savings on ground rent and service charges merit it.
| Lender | Requirement |
|---|---|
| Barclays plc | Leases with less than 70 years at the commencement of the mortgage should be declined (see exception below). Leases with greater than 70 years but fewer than 85 years remaining must be referred to issuing office. Leases with fewer than 70 years should only be referred to the issuing office where the following scenario applies, as discretion may be applied subject to bank approval: • Property is located in any of the following prestigious developments: Cadogan, Crown, Grosvenor, Howard de Walden, Portman or Wellcome Trust Estates in Central London AND • The value of the property subject to the short remaining term is £500,000 or more AND • The loan to value does not exceed 90% for purchases, 90% like for like re-mortgages, 80% for re-mortgages with any element of capital raising and 80% for existing Barclays mortgage borrowers applying for additional borrowing; |
| Birmingham Midshires | Minimum 70 years from the date of the mortgage. |
| Halifax | Minimum 70 years from the date of the mortgage. |
| Skipton Building Society | 85 years from the date of completion of the mortgage For Buy to Let cases: - lettings must not breach any of the lessee’s covenants; and - consent of the lessor to lettings must be obtained if necessary |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
The lawyers that we work with undertake Ruislip Manor lease extensions and help protect your position. A lease extension can be arranged to be completed to coincide with a change of ownership so the costs of the lease extension are paid for using part of the sale proceeds. You really do need expert legal advice in this difficult and technical area of law. The conveyancer we work with provide it.
Last October Lucas, came precariously close to the 80-year threshold with the lease on his one bedroom flat in Ruislip Manor. Having purchased his flat twenty years previously, the unexpired term was of little relevance. by good luck, it dawned on him that he would imminently be paying way over the odds for Extending the lease. Lucas extended the lease just under the wire in March. Lucas and the landlord in the end settled on a premium of £5,000 . If he not met the deadline, the price would have increased by at least £975.
In 2011 we were approached by Mr Gabriel Phillips who, having moved into a one bedroom apartment in Ruislip Manor in March 2007. We are asked if we could estimate the premium could be for a 90 year extension to my lease. Comparable homes in Ruislip Manor with 100 year plus lease were in the region of £245,000. The mid-range ground rent payable was £50 invoiced annually. The lease ended in 2093. Given that there were 68 years left we calculated the compensation to the landlord for the lease extension to be between £9,500 and £11,000 exclusive of fees.
An example of a Lease Extension case for a Ruislip Manor flat is Flat 72 Queens Walk in January 2013. The Tribunals calculated the premium payable to be £22,090. This case affected 1 flat. The remaining number of years on the lease was 53.26 years.