On the balance of probabilities if you own a flat in West Ham you actually own a long leasehold interest over your property
Leasehold residencies in West Ham with in excess of one hundred years outstanding on the lease are sometimes referred to as ‘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 to be gained by purchasing the reversionary interest unless savings on ground rent and estate charges warrant it.
| Lender | Requirement |
|---|---|
| Godiva Mortgages | A minimum of 70 years unexpired lease at completion for all scheme types apart from Lifetime Mortgages (Equity Release), which require a minimum unexpired term of 80 years at completion. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
| National Westminster Bank | Mortgage term plus 30 years. |
| 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. |
Retaining our service will provide you increased control over the value of your West Ham leasehold, as your property will be more valuable and saleable in relation to the lease length should you wish to sell. The conveyancing solicitors that we work with have a in-depth market knowledge handling many hundreds of lease extensions or freehold purchase transactions.
Following unsuccessful discussions with the freeholder of her one bedroom apartment in West Ham, Poppy initiated the lease extension process just as the lease was coming close to the all-important 80-year deadline. The lease extension was concluded in May 2012. The freeholder’s fees were restricted to a tad over 700 pounds.
Dr H González moved into a studio flat in West Ham in February 1995. The question was if we could shed any light on how much (approximately) compensation to the landlord could be for a 90 year extension to my lease. Similar properties in West Ham with an extended lease were worth £183,600. The average amount of ground rent was £65 invoiced every twelve months. The lease expired in 2082. Considering the 57 years as a residual term we approximated the compensation to the freeholder for the lease extension to be between £28,500 and £33,000 exclusive of fees.
An example of a Lease Extension matter before the tribunal for a West Ham flat is 46 Credon Road in January 2014. On 11 September 2013 Deputy District Judge Price sitting at the Bow County Court made a vesting order that the freeholder surrender his lease and be granted a new lease of the Premises on such terms as may be determined by the First Tier Tribunal (Property Chamber).The appropriate sum as concluded by the Tribunal was £7225 This case related to 1 flat. The unexpired lease term was 69.77 years.