Southgate leases on residential deteriorating in value. Where your lease has in the region of 90 years remaining, you should start considering the need for a lease extension. It is important to recognise that it is that it is desirable for your lease extension to be in place before the term of the current lease dips lower than eighty years - otherwise a higher amount will be payable. Flat owners in Southgate will usually be legally entitled to a lease extension; however It would be wise to check with a conveyancer to confirm if you qualify. In certain cases you may not be entitled. There are prescribed timetables and steps to comply with once the process is initiated so it’s wise to be guided by a conveyancer during the process.
Leasehold residencies in Southgate with more than one hundred years left on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your home. In such circumstances there is often little upside in buying the freehold unless savings on ground rent and estate charges merit it.
| Lender | Requirement |
|---|---|
| Birmingham Midshires | Minimum 70 years from the date of the mortgage. |
| Halifax | Minimum 70 years from the date of the mortgage. |
| National Westminster Bank | Mortgage term plus 30 years. |
| 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. |
The lawyers that we work with undertake Southgate lease extensions and help protect your position. A lease extension can be arranged to be completed to coincide with a change of ownership so the costs of the lease extension are paid for using part of the sale proceeds. You really do need expert legal advice in this difficult and technical area of law. The lawyer we work with provide it.
In the wake of 9 months of protracted discussions with the landlord of her two bedroom apartment in Southgate, Isabelle initiated the lease extension process as the eighty year deadline was rapidly nearing. The legal work completed in April 2009. The freeholder’s charges were kept to an absolute minimum.
Last Autumn we were contacted by Dr Jayden Scott , who purchased a studio flat in Southgate in November 2000. The dilemma was if we could shed any light on how much (roughly) price could be for a 90 year extension to my lease. Identical premises in Southgate with 100 year plus lease were worth £290,000. The average amount of ground rent was £45 billed yearly. The lease lapsed on 11 October 2096. Considering the 72 years as a residual term we estimated the compensation to the landlord for the lease extension to be between £11,400 and £13,200 not including fees.
An example of a Freehold Enfranchisement decision for a Southgate residence is 23 Beaconsfield Road in July 2013. The Tribunals decided that the amount payable was £31,203 for the freehold. This case related to 2 flats. The unexpired term as at the valuation date was 70.31 years.