Slade Green leases on residential properties are gradually decreasing in value. The shorter the remaining lease term becomes, the less it is worth – and accordingly any extension of your lease becomes more expensive. It is the case that most Slade Green tenants have the right to extend their lease by an additional ninety years by virtue of the 1993 Leasehold Reform Act. If you are a leasehold owner in Slade Green you would be well advised to check if your lease has between 70 and 90 years remaining. There are good reasons why a Slade Green leaseholder with a lease having around 80 years left should take action to make sure that a lease extension is actioned without delay
Leasehold residencies in Slade Green with over 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 upside in purchasing the reversionary interest unless savings on ground rent and service charges warrant 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. |
| Lloyds TSB Scotland | 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 |
| 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. |
Using our service will provide you enhanced control over the value of your Slade Green leasehold, as your property will be more valuable and marketable in relation to the lease length should you decide to sell. The lawyers that we work with are well versed in the legislation handling many hundreds of lease extensions or freehold purchase transactions.
After unsuccessful correspondence with the landlord of her purpose-built flat in Slade Green, Danielle started the lease extension process just as the lease was approaching the crucial eighty-year mark. The lease extension completed in September 2014. The landlord’s charges were restricted to slightly above 550 pounds.
Last Autumn we were approach by Mr and Mrs. T García , who moved into a studio apartment in Slade Green in September 2011. We are asked if we could approximate the price could be to prolong the lease by a further 90 years. Comparative premises in Slade Green with 100 year plus lease were valued around £295,000. The mid-range amount of ground rent was £45 collected annually. The lease elapsed in 2099. Considering the 74 years as a residual term we calculated the compensation to the landlord to extend the lease to be between £8,600 and £9,800 exclusive of expenses.
An example of a Lease Extension matter before the tribunal for a Slade Green property is Various @ Colombus Square in January 2012. the Tribunal calculated the premiums to be paid for new leases for each of the flats in Mariners Walk to be £3822 and the premium to be paid for the new lease of 2 Knights Court to be £4439. This case affected 13 flats. The unexpired term was 76 years.