As the length of the unexpired term of a West Hendon domestic lease diminished so does its value and therefore the value of your property. If the lease has, beyond 100 years remaining then this decrease may be negligible however there will become a stage when a lease has less than eighty 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 reason why you should consider extending sooner rather than later. Many flat owners in West Hendon will qualify for this right; nevertheless a conveyancing solicitor can advise whether you are eligible for a lease extension. In limited 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 generally accepted that a residential leasehold with in excess of one hundred years unexpired lease term is worth approximately the same as a freehold. Where an additional ninety years added to all but the shortest lease, the property will be worth the same as a freehold for many years ahead.
| Lender | Requirement |
|---|---|
| Birmingham Midshires | Minimum 70 years from the date of the mortgage. |
| Godiva Mortgages | 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. |
| Lloyds TSB Scotland | Minimum 70 years from the date of the mortgage. |
| TSB | Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption. |
Lease extensions in West Hendon can be a difficult process. We recommend you secure guidance from a lawyer and valuer 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 West Hendon lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Half a year ago Daniel, came seriously near to the eighty-year threshold with the lease on his leasehold flat in West Hendon. In buying his property two decades ago, the lease term was of little interest. As luck would have it, it dawned on him that he needed to take action soon on Extending the lease. Daniel arranged for a lease extension just under the wire last August. Daniel and the landlord ultimately settled on sum of £5,000 . If he failed to meet the deadline, the premium would have gone up by at least £850.
Last Winter we were contacted by Dr Rhiannon Petit , who completed a purpose-built flat in West Hendon in January 1998. We are asked if we could approximate the price could be for a 90 year extension to my lease. Comparable flats in West Hendon with an extended lease were worth £285,000. The average amount of ground rent was £55 invoiced monthly. The lease came to a finish on 21 March 2105. Having 79 years left we calculated the premium to the landlord for the lease extension to be within £13,300 and £15,400 not including fees.
An example of a Lease Extension case for a West Hendon property is First Floor Flat 61 Wilberforce Road in March 2014. The premium payable was £10,130 and the case was remitted back to the Willesden County Court to effect the Vesting Order (Claim No 3W103100). This case related to 1 flat. The number of years remaining on the existing lease(s) was 71 years.