Westerham leases on domestic deteriorating in value. Where your lease has in the region of 90 years left, 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 take place before the term of the current lease falls below 80 years - otherwise a higher amount will be payable. Leasehold owners in Westerham will mostly be legally entitled to a lease extension; however a solicitor will confirm if you qualify. In certain cases you may not be entitled. There are prescribed timetables and formalities to comply with once the process is triggered so it’s prudent to be guided by a lawyer during the process.
Leasehold premises in Westerham with over one hundred years unexpired on the lease are often regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your premises. In such circumstances there is often little to be gained by purchasing the reversionary interest unless savings on ground rent and service charges justify it.
| Lender | Requirement |
|---|---|
| Bank of Scotland | Minimum 70 years from the date of the mortgage. |
| Barnsley Building Society | 60 years from the date of the mortgage application subject to 35 years remaining at the end of the mortgage term. |
| 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. |
| Lloyds TSB Scotland | Minimum 70 years from the date of the mortgage. |
Lease extensions in Westerham can be a difficult process. We recommend you get professional help from a conveyancer and surveyor with experience in this area.
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 Westerham lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
In the wake of 6 months of lengthy correspondence with the freeholder of her studio flat in Westerham, Francesca started the lease extension process as the 80 year mark was rapidly coming. The legal work was finalised in November 2015. The landlord’s fees were kept to an absolute minimum.
In 2010 we were e-mailed by Mr and Mrs. M Norbert who, having completed a one bedroom apartment in Westerham in April 2005. The dilemma was if we could estimate the premium could be to extend the lease by an additional years. Similar properties in Westerham with an extended lease were in the region of £181,600. The mid-range ground rent payable was £55 collected per annum. The lease finished in 2077. Taking into account 52 years as a residual term we calculated the premium to the freeholder to extend the lease to be between £30,400 and £35,200 exclusive of costs.
Dr D Murphy moved into a purpose-built flat in Westerham in January 2005. The question was if we could shed any light on how much (roughly) compensation to the landlord would likely be to prolong the lease by a further 90 years. Similar flats in Westerham with 100 year plus lease were worth £290,000. The mid-range amount of ground rent was £45 collected every twelve months. The lease finished in 2097. Having 72 years left we estimated the compensation to the landlord for the lease extension to be between £11,400 and £13,200 exclusive of costs.