Tilbury leases on domestic properties are gradually losing value. if your lease has in the region of ninety years left, you should start considering the need for a lease extension. It is important to recognise that it is that it is desirable for your lease extension to be in place before the term of the current lease dips below eighty years - otherwise a higher amount will be payable. Leasehold owners in Tilbury will mostly qualify for a lease extension; however It would be wise to check with a conveyancer to confirm if you qualify. In some cases you may not be entitled. There are prescribed deadlines and procedures to follow once the process is initiated so it’s sensible to be guided by a conveyancing solicitor during the process.
It is generally considered that a property with more than 100 years remaining is worth approximately the equivalent as a freehold. Where an additional ninety years added to all but the shortest lease, the residence will be worth the same as a freehold for many years ahead.
| Lender | Requirement |
|---|---|
| Birmingham Midshires | Minimum 70 years from the date of the mortgage. |
| Halifax | Minimum 70 years from the date of the mortgage. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
| Lloyds TSB Scotland | Minimum 70 years from the date of the mortgage. |
| TSB | Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption. |
The conveyancing solicitors that we work with handle Tilbury lease extensions and help protect your position. A lease extension can be arranged to be completed to coincide with a change of ownership so the costs of the lease extension are paid for using part of the sale proceeds. You really do need expert legal advice in this difficult and technical area of law. The conveyancer we work with provide it.
Off the back of protracted negotiations with the landlord of her basement flat in Tilbury, Rebecca started the lease extension process just as the lease was nearing the all-important eighty-year deadline. The legal work was concluded in February 2015. The landlord’s costs were restricted to about 550 GBP.
Last Summer we were called by Ms I Sánchez , who bought a garden apartment in Tilbury in January 2010. The dilemma was if we could approximate the compensation to the landlord could be to prolong the lease by a further 90 years. Similar properties in Tilbury with 100 year plus lease were valued around £240,600. The mid-range amount of ground rent was £65 collected quarterly. The lease lapsed on 11 January 2088. Considering the 62 years remaining we calculated the compensation to the freeholder to extend the lease to be within £21,900 and £25,200 exclusive of legals.
Last year we were contacted by Ms Natalie Petit , who took over the lease of a garden apartment in Tilbury in February 2003. We are asked if we could approximate the price would likely be to extend the lease by a further 90 years. Comparative homes in Tilbury with a long lease were worth £179,200. The average ground rent payable was £55 billed per annum. The lease lapsed on 24 February 2077. Considering the 51 years left we approximated the compensation to the landlord to extend the lease to be between £31,400 and £36,200 exclusive of expenses.