On the balance of probabilities if you own a flat in Welling you actually own a long leasehold interest over your property
It is conventional wisdom that a residential leasehold with in excess of 100 years unexpired lease term is worth approximately the equivalent as a freehold. Where an further 90 years added to all but the shortest lease, the residence will be worth the same as a freehold for many years in the future.
|Barnsley Building Society||60 years from the date of the mortgage application subject to 35 years remaining at the end of the mortgage term.|
|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.|
|Halifax||Minimum 70 years from the date of the mortgage.|
|Royal Bank of Scotland||Mortgage term plus 30 years. For a Lifetime Mortgage, the term must be no less than 150 years minus the age of the Borrower.|
The lawyers that we work with undertake Welling 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 lawyer we work with provide it.
Following unsuccessful correspondence with the landlord of her ground floor flat in Welling, Abigail commenced the lease extension process just as her lease was approaching the all-important 80-year mark. The legal work was finalised in September 2010. The freeholder’s costs were kept to an absolute minimum.
In 2012 we were approached by Mr and Mrs. O Laurent who, having completed a one bedroom apartment in Welling in October 2004. The dilemma was if we could approximate the price could be for a ninety year extension to my lease. Comparable residencies in Welling with an extended lease were in the region of £260,000. The mid-range ground rent payable was £50 invoiced per annum. The lease expired in 2093. Given that there were 72 years remaining we calculated the compensation to the landlord to extend the lease to be between £9,500 and £11,000 exclusive of legals.
An example of a Lease Extension case for a Welling premises is 103a Footscray Road in January 2014. The tribunal determines that the premium payable for the extended lease should be £34,500 according to the expert witness valuation calculation This case related to 1 flat.