Thamesmead leases on residential properties are gradually losing value. if your lease has approximately 90 years unexpired, you should start considering the need for a lease extension. If lease term dips under 80 years, you will then have to pay half of the property's 'marriage value' on top of the standard cost of the lease extension to your landlord. Marriage value is the amount of extra value that a lease extension will add to the property. Flat owners in Thamesmead will mostly qualify for a lease extension; however a solicitor will check your eligibility. In certain situations you may not qualify. There are prescribed deadlines and procedures to comply with once the process has commenced so it’s wise to be guided by a conveyancer during the process.
Leasehold properties in Thamesmead with over one hundred years unexpired on the lease are often referred to as ‘virtual freehold’. This is where the lease value the same as a freehold interest in your home. In such situations there is often little upside in buying the freehold unless savings on ground rent and maintenance charges warrant it.
| Lender | Requirement |
|---|---|
| Bank of Scotland | |
| Barclays plc | |
| Birmingham Midshires | |
| The Mortgage Works | |
| Royal Bank of Scotland |
Regardless of whether you are a tenant or a landlord in Thamesmead,the lease extension experts that we work with will always be prepared to discuss any residential leasehold matters and offer you the benefit of their experience and the close ties they enjoy with Thamesmead valuers.
Last Summer Sebastian, started to get near to the 80-year threshold with the lease on his studio apartment in Thamesmead. In buying his property two decades ago, the lease term was of no relevance. Thankfully, he became aware that he would imminently be paying an inflated amount for a lease extension. Sebastian extended the lease just under the wire last September. Sebastian and the freeholder subsequently settled on an amount of £6,000 . If the lease had gone below 80 years, the premium would have increased by at least £1,000.
Last March we were phoned by Dr Gabriel Richardson , who owned a studio flat in Thamesmead in October 2007. We are asked if we could approximate the price would likely be to prolong the lease by a further 90 years. Comparative homes in Thamesmead with 100 year plus lease were in the region of £220,400. The mid-range ground rent payable was £45 collected every twelve months. The lease elapsed on 17 September 2090. Taking into account 64 years unexpired we calculated the premium to the freeholder for the lease extension to be between £15,200 and £17,600 exclusive of fees.
An example of a Lease Extension decision for a Thamesmead residence 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 number of years remaining on the existing lease(s) was 76 years.