Stoke Newington leases on residential deteriorating in value. Where your lease has about ninety years remaining, you should start considering the need for a lease extension. 80 years is a significant number: when the remaining term of a lease dips below this level then you begin incurring an additional element called marriage value. Leasehold owners in Stoke Newington will mostly qualify for a lease extension; however a solicitor will check if you qualify. In some circumstances you may not qualify. There are prescribed timetables and steps to comply with once the process is triggered so it’s best to be guided by a lawyer during the process.
Leasehold properties in Stoke Newington with more than one hundred years left on the lease are sometimes referred to as ‘virtual freehold’. This is where the lease value the same as a freehold interest in your property. In such circumstances there is often little to be gained by purchasing the freehold unless savings on ground rent and maintenance 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. |
| Birmingham Midshires | 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. |
| National Westminster Bank | 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. |
Lease extensions in Stoke Newington can be a difficult process. We recommend you procure guidance from a conveyancer and valuer well versed in the legislation and lease extension process.
We provide you with an expert from a selection of lease extension solicitors, which ensures a targeted and efficient service as you have a dedicated port of call with an individual lawyer. Our lease extension solicitors have in-depth market knowledge dealing with Stoke Newington lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Tommy owned a studio flat in Stoke Newington on the market with a lease of a little over 72 years unexpired. Tommy on an informal basis spoke with his freeholder being a well known London-based freehold company for a lease extension. The landlord was prepared to agree an extension on non-statutory terms taking the lease to 125 years on the basis of an increased rent to £50 yearly. Ordinarily, ground rent would not be due on a lease extension were Tommy to invoke his statutory right. Tommy procured expert legal guidance and secured satisfactory deal without resorting to tribunal and ending up with a market value flat.
In 2012 we were called by Mr and Mrs. P Simon who, having completed a studio apartment in Stoke Newington in July 2001. We are asked if we could approximate the price would likely be for a ninety year extension to my lease. Similar flats in Stoke Newington with 100 year plus lease were worth £265,000. The mid-range ground rent payable was £50 invoiced yearly. The lease ended on 26 October 2098. Considering the 73 years remaining we approximated the premium to the freeholder to extend the lease to be between £9,500 and £11,000 not including legals.
An example of a Lease Extension decision for a Stoke Newington property is Lower Flat 16A Beatty Road in September 2012. The premium payable was £13,577. The terms of the lease has been agreed between the Applicants and the First Respondent and the Tribunal did not seek to disturb that agreement. This case affected 1 flat.