The nearer a residential lease in Beacontree Heath nears to zero years unexpired, the the greater the reduction in the value of the property. Where the residual term has, in excess of 125 years to run then this decrease may be of little impact nevertheless there will become a stage when a lease has fewer than 80 years left as part of the premium you will incur is what is known as a marriage value. This could be significant. It is the primary reason why you should consider extending without delay. The majority of flat owners in Beacontree Heath will meet the qualifying criteria; however a lawyer can advise if you qualify for a lease extension. In certain situations you may not qualify, the most frequent reason being that you have owned the property for less than two years.
It is conventional wisdom that a residential leasehold with in excess of one hundred years remaining is worth roughly the same as a freehold. Where an additional 90 years added to any lease with more than 30 years left, the residence will be equivalent in value to a freehold for many years in the future.
| Lender | Requirement |
|---|---|
| Accord Mortgages | 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. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
| Lloyds TSB Scotland | 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. |
Engaging our service will provide you enhanced control over the value of your Beacontree Heath leasehold, as your property will be more valuable and marketable in terms of lease length should you decide to sell. The conveyancing solicitors that we work with have a in-depth market knowledge handling many hundreds of lease extensions or freehold purchase transactions.
Off the back of lengthy discussions with the freeholder of her one bedroom apartment in Beacontree Heath, Lauren started the lease extension process as the eighty year deadline was rapidly advancing. The legal work was concluded in August 2007. The landlord’s charges were kept to an absolute minimum.
Last April we were called by Ms Zoe Gunderson , who owned a recently refurbished flat in Beacontree Heath in March 1997. The dilemma was if we could shed any light on how much (roughly) price could be to extend the lease by 90 years. Comparative properties in Beacontree Heath with 100 year plus lease were valued about £275,000. The average amount of ground rent was £45 invoiced yearly. The lease terminated in 2094. Having 69 years left we estimated the compensation to the freeholder to extend the lease to be between £12,400 and £14,200 exclusive of expenses.
An example of a Lease Extension case for a Beacontree Heath residence is 49 Aldborough Road South in July 2012. The Tribunal decided that the premium payable for the grant of the new lease was £13,925 This case related to 1 flat. The unexpired term as at the valuation date was 61.36 years.