As the the remaining lease term of a Streatham domestic lease lessens so does its value and therefore the value of your property. Where the lease has, more than 100 years remaining then this decrease may be of little impact nevertheless there will become a stage when a lease has less than 80 years remaining as part of the premium you will incur is what is known as a marriage value. This could increase markedly the cost. It is the main logic behind why you should consider extending without delay. The majority of flat owners in Streatham will meet the qualifying criteria; however a conveyancer should be able to advise whether you are eligible to extend your lease. In limited situations you may not qualify, the most frequent reason being that you have not been the owner of the property for two years.
It is generally considered that a residential leasehold with over one hundred years remaining is worth approximately the equivalent as a freehold. Where an further ninety years added to all but the shortest lease, the residence will be worth the same as a freehold for decades to come.
| 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. |
| Leeds Building Society | 85 years remaining from the start 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. |
Lease extensions in Streatham can be a difficult process. We recommend you get guidance from a lawyer and surveyor 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 procuring Streatham lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
In the wake of 6 months of unsuccessful negotiations with the landlord of her basement flat in Streatham, Paige started the lease extension process just as the lease was coming close to the critical eighty-year mark. The lease extension completed in July 2014. The landlord’s fees were restricted to less than 550 GBP.
In 2010 we were contacted by Dr Daisy Laurent who, having was assigned a lease of a studio flat in Streatham in August 2005. The dilemma was if we could shed any light on how much (roughly) premium could be to extend the lease by a further 90 years. Comparative properties in Streatham with 100 year plus lease were worth £200,800. The mid-range ground rent payable was £65 collected annually. The lease expired on 14 June 2086. Having 60 years left we calculated the compensation to the landlord to extend the lease to be within £20,900 and £24,200 plus expenses.
An example of a Lease Extension decision for a Streatham residence is Flat 12, Newlands Court Streatham Common North in May 2012. the decision of the Tribunal was that the premium payable by the Applicants to the Respondent for the new lease of the Premises be £70,140. This case was in relation to 1 flat. The unexpired residue of the current lease was 23.25 years.