With a long leasehold property in West Thurrock, you are actually buying an entitlement to live in a property for a set period of time. In recent years flat leases are usually granted for 99 years or 125. Even though this may appear like a lengthy period of time, you should consider extending the lease sooner as opposed to later. Accepted thinking is that the shorter the lease is the cost of extending the lease increases markedly particularly when there are fewer than eighty years left. Leasehold owners in West Thurrock with a lease approaching 81 years remaining should seriously think of extending it as soon as possible. Once a lease has under 80 years outstanding, under the current Act the freeholder can calculate and levy a greater premium, assessed on a technical calculation, strangely termed as “marriage value” which is due.
It is conventional wisdom that a residential leasehold with over one hundred years remaining is worth roughly the equivalent as a freehold. Where an additional ninety years added to any lease with more than 30 years remaining, the property will be worth the same as a freehold for many years in the future.
| 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. |
| Halifax | Minimum 70 years from the date of the mortgage. |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
Engaging our service will provide you enhanced control over the value of your West Thurrock leasehold, as your property will be more valuable and saleable in terms of lease length should you decide to sell. The lawyers that we work with have a wealth of experience of handling many hundreds of lease extensions or freehold purchase transactions.
Subsequent to lengthy discussions with the freeholder of her studio apartment in West Thurrock, Jasmine initiated the lease extension process as the eighty year threshold was quickly nearing. The transaction completed in March 2013. The landlord’s costs were negotiated to under four hundred pounds.
Mr and Mrs. U Hernández purchased a one bedroom apartment in West Thurrock in March 2006. The question was if we could shed any light on how much (roughly) price could be to prolong the lease by 90 years. Similar premises in West Thurrock with an extended lease were worth £208,200. The average ground rent payable was £65 collected per annum. The lease terminated in 2087. Having 61 years remaining we estimated the compensation to the freeholder for the lease extension to be within £20,000 and £23,000 not including costs.
An example of a Lease Extension case for a West Thurrock property is Various @ Colombus Square in January 2012. the Tribunal calculated the premiums to be paid for new leases for each of the flats in Mariners Walk to be £3822 and the premium to be paid for the new lease of 2 Knights Court to be £4439. This case affected 13 flats. The unexpired lease term was 76 years.