Owning a apartment usually means owning a lease of the property, this is a ‘time-limited’ interest becoming shorter every day. your lease will ordinarily be granted for a set period of time , ordinarily 99 or 125 years, although we have come across longer and shorter terms in West Smithfield. Inevitably, the length of lease left shortens as time goes by. This may slip by relatively unnoticed when the residence needs to be sold or re-mortgaged. The shorter the lease the lower the value of the property and the more expensive it will be to obtain a lease extension. Qualifying long lease owners in West Smithfield have the legal entitlement to extend the lease for a further 90 years in accordance with legislation. Please give careful consideration before delaying your West Smithfield lease extension. Holding off that expense now only increases the price you will ultimately incur to extend your lease
It is conventional wisdom that a residential leasehold with more than 100 years remaining is worth roughly the equivalent as a freehold. Where an additional ninety years added to any lease with more than 35 years remaining, the premises will be worth the same as a freehold for decades to come.
| Lender | Requirement |
|---|---|
| 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. |
| Coventry Building Society | 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. |
| TSB | Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption. |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
Engaging our service gives you increased control over the value of your West Smithfield leasehold, as your property will be more valuable and saleable in respect of lease length should you want to sell. The conveyancers that we work with have a in-depth market knowledge handling many hundreds of lease extensions or freehold purchase transactions.
Trailing lengthy negotiations with the landlord of her leasehold apartment in West Smithfield, Amy started the lease extension process just as her lease was approaching the all-important eighty-year deadline. The legal work completed in April 2013. The landlord’s fees were kept to an absolute minimum.
In 2010 we were called by Mrs Paige Carter who, having purchased a basement flat in West Smithfield in November 2011. We are asked if we could shed any light on how much (roughly) price would be for a 90 year lease extension. Similar premises in West Smithfield with 100 year plus lease were worth £181,600. The average amount of ground rent was £55 invoiced quarterly. The lease concluded on 25 August 2078. Having 52 years left we estimated the compensation to the landlord for the lease extension to be between £30,400 and £35,200 exclusive of expenses.
An example of a Lease Extension case for a West Smithfield residence is Flat 89 Trinity Court Grays Inn Road in February 2013. the Tribunal found that the premium to be paid by the tenant on the grant of a new lease, in accordance with section 56 and Schedule 13 to the Leasehold Reform, Housing and Urban Development Act 1993 should be £36,229. This case affected 1 flat. The remaining number of years on the lease was 66.8 years.