The market value of a leasehold property in Hillingdon depends on how long the lease has remaining. If it is close to or fewer than eighty years you should envisage difficulties on re-sale, so it is advisable to arrange for the lease to be extended before buying. It is preferable to start the process of extending the lease is when a lease still has 82 years to run so that a lease extension can be addressed well before the 80 year threshold. Leasehold Reform legislation entitles Hillingdon qualifying lessees to obtain a lease extension of ninety years in addition to the remaining length of the lease at a peppercorn rent (that is, rent free). The intention of the valuation is to arrive at an opinion of the premium payable by the lessee to the freeholder for the acquisition of the lease extension.
Leasehold properties in Hillingdon with in excess of one hundred years outstanding on the lease are often referred to as ‘virtual freehold’. This is where the lease value the same as a freehold interest in your home. In such situations there is often little upside in purchasing the freehold unless savings on ground rent and service charges justify it.
| Lender | Requirement |
|---|---|
| Birmingham Midshires | Minimum 70 years from the date of the mortgage. |
| Leeds Building Society | 85 years remaining from the start 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 |
| TSB | Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption. |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
Lease extensions in Hillingdon can be a difficult process. We recommend you obtain professional help from a conveyancing solicitor and valuer well versed in the legislation and lease extension process.
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 in-depth market knowledge procuring Hillingdon lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Trailing protracted discussions with the landlord of her one bedroom apartment in Hillingdon, Katie started the lease extension process as the 80 year threshold was swiftly nearing. The transaction was finalised in September 2014. The freeholder’s costs were kept to an absolute minimum.
In 2010 we were approached by Dr Jonathan Martinez who, having bought a one bedroom flat in Hillingdon in October 2000. We are asked if we could approximate the compensation to the landlord could be to extend the lease by 90 years. Similar premises in Hillingdon with an extended lease were worth £235,600. The average amount of ground rent was £60 billed monthly. The lease expired on 3 March 2088. Considering the 62 years as a residual term we approximated the premium to the landlord for the lease extension to be within £21,900 and £25,200 not including expenses.
An example of a Freehold Enfranchisement decision for a Hillingdon 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 lease term was 69 years.