As the length of the unexpired term of a Swanscombe residential lease diminished so does its value and therefore the value of your property. If the lease has, more than 99 years remaining then this decrease may be of little impact however there will become a point in time when a lease has under than eighty years left as part of the premium you will incur is what is termed as a marriage value. This could be significant. It is the primary logic behind why you should consider extending without delay. Many flat owners in Swanscombe will qualify for this right; however a lawyer can confirm whether you are eligible for a lease extension. In certain situations you may not qualify, the most common 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 roughly the equivalent as a freehold. Where an additional 90 years added to any lease with more than 45 years left, the residence will be equivalent in value to a freehold for many years in the future.
| Lender | Requirement |
|---|---|
| Barclays plc | Leases with less than 70 years at the commencement of the mortgage are not acceptable. 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; |
| Halifax | Minimum 70 years from the date of the mortgage. |
| Leeds Building Society | 85 years remaining from the start 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. |
Lease extensions in Swanscombe can be a difficult process. We recommend you procure guidance from a conveyancing solicitor 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 procuring Swanscombe lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Half a year ago Connor, started to get near to the eighty-year mark with the lease on his leasehold apartment in Swanscombe. In buying his home two decades ago, the lease term was of no bearing. by good luck, he noticed he would soon be paying an escalated premium for a lease extension. Connor was able to extend his lease at the eleventh hour last May. Connor and the landlord eventually settled on sum of £5,500 . If the lease had dropped to less than eighty years, the premium would have become more costly by a minimum £1,025.
Last Spring we were e-mailed by Mr and Mrs. G Adams , who moved into a garden flat in Swanscombe in January 2011. The dilemma was if we could estimate the compensation to the landlord would likely be to extend the lease by ninety years. Comparative homes in Swanscombe with 100 year plus lease were in the region of £275,000. The mid-range amount of ground rent was £55 invoiced quarterly. The lease end date was in 2102. Given that there were 76 years unexpired we estimated the premium to the freeholder for the lease extension to be between £9,500 and £11,000 exclusive of professional charges.
An example of a Lease Extension decision for a Swanscombe 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 related to 13 flats. The unexpired residue of the current lease was 76 years.