The closer a domestic lease in Uxbridge nears to zero years unexpired, the the greater the reduction in the value of the property. If the residual term has, beyond 125 years to run then this decrease may be of little impact however there will become a stage when a lease has under 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. Many flat owners in Uxbridge will meet the qualifying criteria; that being said a conveyancing solicitor will be able to confirm if you qualify 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 conventional wisdom that a property with more than 100 years unexpired lease term is worth roughly the equivalent as a freehold. Where an further 90 years added to any lease with more than 30 years unexpired, the premises will be equivalent in value to a freehold for decades to come.
| Lender | Requirement |
|---|---|
| Bank of Scotland | 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. |
| Coventry Building Society | A minimum of 70 years unexpired lease at completion for all scheme types apart from Lifetime Mortgages (Equity Release), which require a minimum unexpired term of 80 years at completion. |
| 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 |
| TSB | Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption. |
Using our service will provide you better control over the value of your Uxbridge leasehold, as your property will be more valuable and marketable in relation to the lease length should you decide to sell. The conveyancing solicitors that we work with have a wealth of experience of handling many hundreds of lease extensions or freehold purchase transactions.
Matthew owned a high value apartment in Uxbridge on the market with a lease of a little over 72 years unexpired. Matthew on an informal basis approached his landlord a well known local-based freehold company and enquired on a premium to extend the lease. The landlord indicated a willingness to grant an extension taking the lease to 125 years subject to a rise in the rent to £100 per annum. No ground rent would be due on a lease extension were Matthew to exercise his statutory right. Matthew procured expert advice and was able to make an informed judgement and handle with the matter and ending up with a market value flat.
Last October we were called by Dr D Williams , who completed a basement apartment in Uxbridge in March 2006. We are asked if we could approximate the price could be for a 90 year lease extension. Similar premises in Uxbridge with a long lease were worth £261,600. The average ground rent payable was £60 collected quarterly. The lease lapsed on 5 May 2078. Having 52 years outstanding we estimated the compensation to the landlord to extend the lease to be between £39,000 and £45,000 plus fees.
An example of a Freehold Enfranchisement matter before the tribunal for a Uxbridge residence is 164 Nestles Avenue in October 2013. The tribunal agreed with the proposed price of £20,158 for the freehold and determined that that sum is the amount to be paid into court This case was in relation to 2 flats. The unexpired lease term was 69 years.