When it comes to long leasehold premises in Washwood Heath, you are actually purchasing an entitlement to reside in a property for a set period of time. These days flat leases are usually granted for 99 years or 125. Many leasehold owners are unconcerned as this seems like a long period of time, you should consider extending the lease sooner rather than later. Accepted thinking is that the shorter the number of years is the cost of extending the lease becomes disproportionately greater especially once there are less than 80 years remaining. Leasehold owners in Washwood Heath with a lease drawing near to 81 years left should seriously consider extending it as soon as possible. When a lease has under eighty years outstanding, under the relevant Act the freeholder can calculate and demand a greater premium, assessed on a technical multiplication, known as “marriage value” which is due.
It is conventional wisdom that a property with more than one hundred years remaining is worth roughly the same as a freehold. Where an additional ninety years added to all but the shortest lease, the property will be equivalent in value to a freehold for many years ahead.
Lender | Requirement |
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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. |
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. |
National Westminster Bank | Mortgage term plus 30 years. |
Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
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 Washwood Heath can be a difficult process. We recommend you secure guidance from a conveyancing solicitor 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 a wealth of experience procuring Washwood Heath lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Subsequent to unsuccessful negotiations with the freeholder of her garden apartment in Washwood Heath, Lauren started the lease extension process just as the lease was approaching the all-important 80-year deadline. The legal work was finalised in July 2012. The landlord’s fees were kept to an absolute minimum.
Last Spring we were contacted by Dr E Mason , who moved into a ground floor apartment in Washwood Heath in August 1998. We are asked if we could estimate the price would likely be to prolong the lease by a further 90 years. Comparable flats in Washwood Heath with an extended lease were worth £300,000. The mid-range amount of ground rent was £50 billed annually. The lease lapsed on 28 September 2101. Given that there were 76 years outstanding we estimated the premium to the freeholder for the lease extension to be within £8,600 and £9,800 not including legals.
In 2012 we were called by Ms J Lefèvre who, having completed a first floor apartment in Washwood Heath in March 1999. We are asked if we could estimate the compensation to the landlord could be for a 90 year extension to my lease. Identical residencies in Washwood Heath with an extended lease were valued about £257,800. The average amount of ground rent was £65 collected monthly. The lease end date was in 2090. Taking into account 65 years outstanding we estimated the premium to the landlord to extend the lease to be between £18,100 and £20,800 plus fees.