West Ruislip leases on domestic deteriorating in value. Where your lease has about ninety years unexpired, you should start thinking about a lease extension. It is important to recognise that it is that it is desirable for the lease extension to be in place before the term of the current lease drops below eighty years - otherwise a higher amount will be payable. Leasehold owners in West Ruislip will usually be legally entitled to a lease extension; however a solicitor should be able check your eligibility. In some situations you may not qualify. There are also strict deadlines and steps to comply with once the process has commenced so it’s prudent to be guided by a lawyer during the process.
Leasehold residencies in West Ruislip with over one hundred years outstanding on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your premises. In such situations there is often little to be gained by buying the freehold unless savings on ground rent and service charges merit it.
| Lender | Requirement |
|---|---|
| Birmingham Midshires | Minimum 70 years from the date of the mortgage. |
| 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. |
| 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. |
| 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. |
Irrespective of whether you are a tenant or a landlord in West Ruislip,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 in-depth market knowledge and the close ties they enjoy with West Ruislip valuers.
Oscar was the the leasehold owner of a 2 bedroom apartment in West Ruislip being marketed with a lease of just over fifty eight years outstanding. Oscar informally approached his freeholder being a well known Bristol-based freehold company for a lease extension. The freeholder was keen to agree an extension on non-statutory terms taking the lease to 125 years subject to a new rent at the outset set at £200 per annum and doubled every 25 years thereafter. No ground rent would be due on a lease extension were Oscar to invoke his statutory right. Oscar procured expert advice and was able to make an informed decision and deal with the matter and ending up with a market value flat.
In 2010 we were phoned by Dr Isabella Smith who, having moved into a newly refurbished flat in West Ruislip in November 1999. We are asked if we could shed any light on how much (approximately) compensation to the landlord could be for a ninety year extension to my lease. Comparable premises in West Ruislip with an extended lease were in the region of £260,200. The mid-range amount of ground rent was £65 invoiced quarterly. The lease concluded in 2092. Taking into account 66 years unexpired we approximated the premium to the landlord to extend the lease to be between £16,200 and £18,600 plus expenses.
Last Spring we were approach by Dr Y Clark , who completed a one bedroom flat in West Ruislip in July 2000. The question was if we could estimate the compensation to the landlord would likely be for a ninety year extension to my lease. Identical premises in West Ruislip with a long lease were worth £198,800. The average ground rent payable was £55 collected yearly. The lease finished in 2081. Considering the 55 years left we calculated the compensation to the landlord to extend the lease to be between £33,300 and £38,400 exclusive of costs.