With a domestic leasehold premises in West Ham, you are in fact renting it for a certain amount of time. Modern flat leases typically tend to be for 99 years or 125. Many leasehold owners become complacent as this seems like a lengthy period of time, you may consider a lease extension sooner rather than later. Accepted thinking is that the shorter the lease is the cost of extending the lease becomes disproportionately greater notably once there are fewer than eighty years left. Anyone in West Ham with a lease approaching 81 years left should seriously consider extending it without delay. Once the lease term has below eighty years outstanding, under the relevant statute the landlord is entitled to calculate and charge a greater amount, assessed on a technical computation, strangely termed as “marriage value” which is payable.
Leasehold properties in West Ham with in excess of one hundred years remaining on the lease are often referred to as ‘virtual freehold’. This is where the lease value the same as a freehold interest in your premises. In such situations there is often little upside in purchasing the reversionary interest unless savings on ground rent and maintenance charges merit it.
| Lender | Requirement |
|---|---|
| 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. |
| 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. |
| Royal Bank of Scotland | 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. |
Irrespective of whether you are a tenant or a freeholder in West Ham,the lease extension experts that we work with will always be willing to discuss any residential leasehold matters and offer you the benefit of their experience and the close ties they enjoy with West Ham valuers.
After unsuccessful negotiations with the landlord of her first floor apartment in West Ham, Kirsty commenced the lease extension process as the eighty year deadline was rapidly coming. The legal work was concluded in January 2015. The freeholder’s fees were kept to an absolute minimum.
Last Christmas we were approach by Ms Amelia Watson , who completed a garden apartment in West Ham in September 2004. We are asked if we could estimate the premium would likely be to prolong the lease by 90 years. Similar residencies in West Ham with an extended lease were valued about £270,000. The mid-range ground rent payable was £55 invoiced quarterly. The lease ended in 2099. Having 74 years outstanding we approximated the compensation to the freeholder for the lease extension to be between £9,500 and £11,000 exclusive of professional charges.
An example of a Lease Extension case for a West Ham residence is 46 Credon Road in January 2014. On 11 September 2013 Deputy District Judge Price sitting at the Bow County Court made a vesting order that the freeholder surrender his lease and be granted a new lease of the Premises on such terms as may be determined by the First Tier Tribunal (Property Chamber).The appropriate sum as concluded by the Tribunal was £7225 This case was in relation to 1 flat. The remaining number of years on the lease was 69.77 years.