Kings Heath leases on domestic deteriorating in value. if your lease has in the region of 90 years unexpired, you should start thinking about a lease extension. Eighty years is a significant number: when the unexpired term of a lease falls below this level then you begin paying an additional element called marriage value. Leasehold owners in Kings Heath will usually be legally entitled to a lease extension; however it’s a good idea to check with a conveyancer to confirm if you qualify. In some circumstances you may not qualify. There are also strict timetables and procedures to comply with once the process has commenced so it’s sensible to be guided by a conveyancer during the process.
Leasehold premises in Kings Heath with in excess of one hundred years left on the lease are often regarded as a ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your home. In such situations there is often little upside in buying the reversionary interest unless savings on ground rent and maintenance charges warrant it.
| 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. |
| Barnsley Building Society | 60 years from the date of the mortgage application subject to 35 years remaining at the end of the mortgage term. |
| 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. |
| 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 gives you enhanced control over the value of your Kings 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 wealth of experience of handling many hundreds of lease extensions or freehold purchase transactions.
Sam was the the leasehold owner of a high value flat in Kings Heath on the market with a lease of a few days over sixty years remaining. Sam informally approached his freeholder a well known Manchester-based freehold company and enquired on a premium to extend the lease. The landlord indicated a willingness to extend the lease to 125 years on the basis of an increased rent to £50 annually. No ground rent would be payable on a lease extension were Sam to exercise his statutory right. Sam procured expert legal guidance and was able to make a more informed judgement and handle with the matter and ending up with a market value flat.
In 2014 we were approached by Dr Elijah Ward who, having completed a basement apartment in Kings Heath in October 2004. We are asked if we could estimate the premium would likely be for a ninety year lease extension. Similar residencies in Kings Heath with an extended lease were in the region of £280,000. The average amount of ground rent was £45 collected per annum. The lease expiry date was on 6 July 2097. Having 71 years as a residual term we approximated the compensation to the landlord to extend the lease to be between £12,400 and £14,200 plus professional charges.
Dr Stanley Martínez completed a purpose-built apartment in Kings Heath in August 2005. We are asked if we could approximate the price could be for a 90 year extension to my lease. Comparative residencies in Kings Heath with an extended lease were worth £225,800. The mid-range ground rent payable was £60 collected quarterly. The lease terminated in 2086. Considering the 60 years left we approximated the compensation to the freeholder to extend the lease to be between £25,700 and £29,600 plus expenses.