Tilehurst leases on residential properties are gradually losing value. Where your lease has in the region of ninety years left, you should start considering the need for a lease extension. 80 years is a significant number: when the remaining term of a lease falls below this level then you begin incurring an additional element called marriage value. Flat owners in Tilehurst will mostly qualify for a lease extension; however a solicitor will check your eligibility. In certain cases you may not qualify. There are also strict deadlines and procedures to follow once the process has started so it’s sensible to be guided by a lawyer during the process.
It is generally considered that a property with in excess of 100 years remaining is worth approximately the equivalent as a freehold. Where an additional ninety years added to all but the shortest lease, the residence will be worth the same as a freehold for many years ahead.
| 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. |
| Chelsea 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. |
| Halifax | Minimum 70 years from the date of the mortgage. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
Lease extensions in Tilehurst can be a difficult process. We recommend you get guidance from a lawyer and valuer with experience in lease extensions.
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 a wealth of experience procuring Tilehurst 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 negotiations with the freeholder of her two bedroom apartment in Tilehurst, Naomi initiated the lease extension process just as the lease was nearing the crucial eighty-year threshold. The legal work was finalised in November 2012. The freeholder’s fees were kept to an absolute minimum.
In 2011 we were e-mailed by Mr and Mrs. K Harris who, having owned a basement apartment in Tilehurst in October 2012. We are asked if we could estimate the compensation to the landlord would be for a 90 year extension to my lease. Comparable properties in Tilehurst with an extended lease were worth £242,600. The mid-range ground rent payable was £45 invoiced annually. The lease expired in 2093. Given that there were 67 years left we approximated the premium to the landlord for the lease extension to be within £11,400 and £13,200 exclusive of expenses.
In 2012 we were approached by Ms A Morgan who, having acquired a garden flat in Tilehurst in June 2003. We are asked if we could estimate the premium would be for a 90 year lease extension. Comparable homes in Tilehurst with a long lease were worth £280,000. The mid-range ground rent payable was £55 billed per annum. The lease came to a finish in 2104. Given that there were 78 years as a residual term we approximated the compensation to the landlord for the lease extension to be between £13,300 and £15,400 exclusive of legals.