The nearer a domestic lease in West Dulwich gets to zero years unexpired, the the greater the reduction in the value of the property. Where the lease has, more than 99 years to run then this decrease may be of little impact nevertheless there will become a stage when a lease has under than eighty years unexpired as part of the premium you will incur is what is termed as a marriage value. This could increase markedly the cost. It is the primary logic behind why you should consider extending sooner than later. The majority of flat owners in West Dulwich will meet the qualifying criteria; that being said a conveyancer will be able to confirm if you are eligible to extend your lease. In limited situations you may not qualify, the most frequent reason being that you have not been the owner of the property for two years.
Leasehold premises in West Dulwich with in excess of 100 years outstanding on the lease are sometimes referred to as ‘virtual freehold’. This is where the lease is worth 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 merit it.
| Lender | Requirement |
|---|---|
| Accord Mortgages | |
| Barnsley Building Society | |
| National Westminster Bank | |
| Nationwide Building Society | |
| Skipton Building Society |
The conveyancing solicitors that we work with handle West Dulwich 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 conveyancing solicitor we work with provide it.
Luke owned a 2 bedroom apartment in West Dulwich on the market with a lease of fraction over sixty years remaining. Luke informally approached his freeholder a well known Manchester-based freehold company for a lease extension. The landlord indicated a willingness to grant an extension taking the lease to 125 years subject to a rise in the rent to £125 yearly. Ordinarily, ground rent would not be due on a lease extension were Luke to exercise his statutory right. Luke procured expert legal guidance and was able to make a more informed judgement and handle with the matter and ending up with a market value flat.
Last Autumn we were phoned by Mr and Mrs. C Ward , who acquired a one bedroom apartment in West Dulwich in November 2009. The dilemma was if we could estimate the premium would likely be for a 90 year extension to my lease. Comparable homes in West Dulwich with an extended lease were worth £254,200. The average ground rent payable was £60 invoiced per annum. The lease finished in 2077. Taking into account 51 years left we approximated the premium to the landlord for the lease extension to be between £43,700 and £50,600 plus legals.
An example of a Freehold Enfranchisement case for a West Dulwich property is 8 Deerbrook Road in May 2010. the Tribunal held that the enfranchisement price, in accordance with section 32 and Schedule 6 of the Leasehold Reform, Housing and Urban Development Act 1993 was £22,820, payable by the Applicants. By an order of the Lambeth County Court dated 17 June 2009 the case had been transferred to the Leasehold Valuation Tribunal for its determination of the premium payable This case was in relation to 3 flats.