As the length of the unexpired term of a Seven Sisters domestic lease decreases so does its value and therefore the value of your property. If the residual term has, beyond one hundred years remaining then this decrease may be of little impact that being said there will become a stage when a lease has less than eighty years unexpired as part of the premium you will incur is what is known as a marriage value. This could increase markedly the cost. It is the primary reason why you should extend the lease without delay. The majority of flat owners in Seven Sisters will qualify for this right; nevertheless a conveyancer will be able to confirm whether you qualify to extend your lease. In limited situations you may not qualify, the most common reason being that you have owned the property for less than two years.
Leasehold properties in Seven Sisters with over 100 years remaining on the lease are sometimes referred to as ‘virtual freehold’. This is where the lease value the same as a freehold interest in your property. In such circumstances there is often little upside in purchasing the freehold unless savings on ground rent and service charges warrant it.
| Lender | Requirement |
|---|---|
| Barnsley Building Society | 60 years from the date of the mortgage application subject to 35 years remaining at the end of the mortgage term. |
| TSB | Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption. |
| 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. |
| 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. |
Regardless of whether you are a tenant or a freeholder in Seven Sisters,the lease extension solicitors that we work with will always be prepared to discuss any residential leasehold matters and offer you the benefit of their in-depth market knowledge and the close ties they enjoy with Seven Sisters valuers.
After lengthy discussions with the landlord of her garden apartment in Seven Sisters, Rosie initiated the lease extension process just as the lease was coming close to the all-important eighty-year mark. The transaction was concluded in April 2011. The freeholder’s charges were kept to an absolute minimum.
Mrs C Leroy completed a first floor apartment in Seven Sisters in January 1998. The dilemma was if we could approximate the premium would be for a ninety year lease extension. Comparative properties in Seven Sisters with 100 year plus lease were valued about £181,600. The mid-range ground rent payable was £55 collected per annum. The lease expired in 2077. Considering the 52 years outstanding we approximated the premium to the landlord for the lease extension to be between £30,400 and £35,200 plus costs.
An example of a Freehold Enfranchisement matter before the tribunal for a Seven Sisters property is 22 Wakefield Road in January 2012. Following a vesting order Clerkenwell and Shoreditch County Court under section 26 of the Leasehold Reform,Housing and Urban Development Act 1993 on 9th May 2011 the Tribunal decided that the price that the Applicant for the freehold interest should pay is £17,400 This case was in relation to 2 flats. The unexpired term was 74.13 years.