Stamford Hill leases on residential deteriorating in value. Where your lease has approximately ninety years left, you should start considering the need for a lease extension. An important point to note is that it is desirable for your lease extension to take place before the term of the current lease dips lower than 80 years - otherwise a higher amount will be payable. Flat owners in Stamford Hill will usually qualify for a lease extension; however a solicitor will check if you qualify. In certain cases you may not be entitled. There are prescribed deadlines and procedures to follow once the process has commenced so it’s wise to be guided by a conveyancer during the process.
Leasehold properties in Stamford Hill with more than one hundred years left 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 home. In such circumstances there is often little to be gained by purchasing the reversionary interest unless savings on ground rent and maintenance charges warrant it.
| Lender | Requirement |
|---|---|
| Bank of Scotland | Minimum 70 years from the date of the mortgage. |
| 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. |
| Halifax | Minimum 70 years from the date of the mortgage. |
| TSB | Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption. |
| Yorkshire 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. |
Regardless of whether you are a tenant or a freeholder in Stamford Hill,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 experience and the close ties they enjoy with Stamford Hill valuers.
Last year Callum, started to get close to the eighty-year mark with the lease on his basement apartment in Stamford Hill. Having bought his home twenty years previously, the length of the lease was of no significance. by good luck, it dawned on him that he would soon be paying way over the odds for a lease extension. Callum arranged for a lease extension at the eleventh hour last April. Callum and the landlord ultimately settled on a premium of £6,000 . If the lease had dropped below eighty years, the premium would have escalated by at least £900.
In 2011 we were approached by Dr D Hernández who, having owned a first floor apartment in Stamford Hill in September 1996. The dilemma was if we could shed any light on how much (roughly) compensation to the landlord could be to extend the lease by a further 90 years. Identical flats in Stamford Hill with 100 year plus lease were valued around £205,000. The average amount of ground rent was £50 billed monthly. The lease end date was in 2104. Given that there were 78 years unexpired we calculated the compensation to the freeholder to extend the lease to be within £8,600 and £9,800 exclusive of fees.
An example of a Lease Extension case for a Stamford Hill flat is Flat 25, Stamford Hill Mansions Stamford Hill in April 2010. The Tribunal therefore determined that the premium to be paid by the lessee to the freeholder for the extension of the lease should be £28,984.00 This case related to 1 flat. The unexpired term as at the valuation date was 59 years.