Addiscombe leases on residential properties are gradually losing value. if your lease has in the region of 90 years remaining, you should start considering the need for a lease extension. If lease term falls under 80 years, you will then be required to pay half of the property's 'marriage value' in addition to the usual cost of the lease extension to your landlord. Marriage value is the amount of extra value that a lease extension will add to the property. Flat owners in Addiscombe will mostly qualify for a lease extension; however it’s a good idea to check with a conveyancing solicitor to confirm your eligibility. In some circumstances you may not qualify. There are prescribed deadlines and procedures to comply with once the process is triggered so it’s best to be guided by a conveyancing solicitor during the process.
Leasehold premises in Addiscombe with in excess of 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 freehold unless savings on ground rent and maintenance charges warrant it.
| 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. |
| 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 |
| Yorkshire 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. |
Using our service will provide you increased control over the value of your Addiscombe leasehold, as your property will be more valuable and marketable in respect of lease length should you wish to sell. The conveyancers that we work with have a wealth of experience of handling many hundreds of lease extensions or freehold purchase transactions.
Half a year ago Austin, came precariously near to the 80-year threshold with the lease on his garden apartment in Addiscombe. In buying his flat 19 years previously, the unexpired term was of minimal relevance. by good luck, he noticed he needed to take steps soon on a lease extension. Austin extended the lease just under the wire last April. Austin and the landlord eventually agreed on sum of £5,500 . If the lease had gone below eighty years, the figure would have escalated by at least £900.
Mrs Melissa Jackson bought a garden apartment in Addiscombe in March 1997. We are asked if we could shed any light on how much (approximately) price would likely be for a ninety year extension to my lease. Comparative properties in Addiscombe with 100 year plus lease were in the region of £260,000. The average amount of ground rent was £50 billed per annum. The lease lapsed in 2097. Taking into account 72 years unexpired we estimated the compensation to the landlord to extend the lease to be within £9,500 and £11,000 plus professional charges.
An example of a Freehold Enfranchisement case for a Addiscombe flat is 29 Woodstock Road in April 2014. the Tribunal determined that the premiums to be paid into court in respect of the purchase of the freehold registered at HMLR under Title N0.SY3997 should be £7,217. This case related to 4 flats. The remaining number of years on the lease was 98 years.