Harmondsworth leases on residential properties are gradually diminishing in value. The shorter the remaining lease term becomes, the less it is worth – and as a result any extension of the lease becomes more expensive. Legislation has been in place for sometime now which entitles qualifying Harmondsworth residential leaseholders to extend the terms of long leases. Where you are a leasehold owner in Harmondsworth you should check if your lease has between 70 and 90 years remaining. There are good reasons why a Harmondsworth leaseholder with a lease having around 80 years unexpired should take steps to make sure that a lease extension is effected without delay
It is generally considered that a residential leasehold with in excess of 100 years remaining is worth approximately the same as a freehold. Where an additional 90 years added to any lease with more than 30 years left, the premises will be equivalent in value to a freehold for decades to come.
| Lender | Requirement |
|---|---|
| Bank of Scotland | Minimum 70 years from the date of the mortgage. |
| Birmingham Midshires | Minimum 70 years from the date of the mortgage. |
| Coventry Building Society | 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. |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
Using our service gives you enhanced control over the value of your Harmondsworth leasehold, as your property will be more valuable and saleable in relation to the lease length should you decide to sell. The conveyancing solicitors that we work with are well versed in the legislation handling many hundreds of lease extensions or freehold purchase transactions.
Joshua owned a high value apartment in Harmondsworth on the market with a lease of fraction over sixty years outstanding. Joshua on an informal basis spoke with his landlord being a well known local-based freehold company for a lease extension. The freeholder was prepared to give 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 twenty five years thereafter. Ordinarily, ground rent would not be due on a lease extension were Joshua to invoke his statutory right. Joshua procured expert legal guidance and was able to make a more informed judgement and deal with the matter and ending up with a market value flat.
Last April we were approach by Dr P Ward , who moved into a recently refurbished flat in Harmondsworth in April 1996. We are asked if we could estimate the price would be to prolong the lease by an additional years. Comparable premises in Harmondsworth with an extended lease were valued about £267,600. The mid-range ground rent payable was £65 invoiced per annum. The lease came to a finish in 2093. Considering the 67 years remaining we approximated the premium to the landlord to extend the lease to be within £14,300 and £16,400 plus fees.
An example of a Freehold Enfranchisement matter before the tribunal for a Harmondsworth residence is 164 Nestles Avenue in October 2013. The tribunal agreed with the proposed price of £20,158 for the freehold and determined that that sum is the amount to be paid into court This case related to 2 flats. The unexpired residue of the current lease was 69 years.