Alfreton leases on domestic deteriorating in value. Where your lease has approximately ninety years remaining, you should start considering the need for a lease extension. An important point to note is that it is financially advisable for your lease extension to be in place before the term of the existing lease falls lower than eighty years - otherwise a higher amount will be due. Leasehold owners in Alfreton will usually qualify for a lease extension; however a solicitor will check if you qualify. In some circumstances you may not be entitled. There are prescribed deadlines and steps to comply with once the process has commenced so it’s best to be guided by a conveyancing solicitor during the process.
Leasehold properties in Alfreton with in excess of 100 years remaining on the lease are often referred to as ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your home. In such circumstances there is often little to be gained by purchasing the freehold unless savings on ground rent and service charges merit it.
| Lender | Requirement |
|---|---|
| Barclays plc | Leases with less than 70 years at the commencement of the mortgage should be declined (see exception below). Leases with greater than 70 years but fewer than 85 years remaining must be referred to issuing office. Leases with fewer than 70 years should only be referred to the issuing office where the following scenario applies, as discretion may be applied subject to bank approval: • Property is located in any of the following prestigious developments: Cadogan, Crown, Grosvenor, Howard de Walden, Portman or Wellcome Trust Estates in Central London AND • The value of the property subject to the short remaining term is £500,000 or more AND • The loan to value does not exceed 90% for purchases, 90% like for like re-mortgages, 80% for re-mortgages with any element of capital raising and 80% for existing Barclays mortgage borrowers applying for additional borrowing; |
| Halifax | Minimum 70 years from the date of the mortgage. |
| Lloyds TSB Scotland | Minimum 70 years from the date 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. |
Lease extensions in Alfreton can be a difficult process. We recommend you secure guidance from a conveyancing solicitor and valuer with experience in this area.
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 Alfreton lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Subsequent to lengthy discussions with the freeholder of her two bedroom flat in Alfreton, Bethan initiated the lease extension process as the eighty year threshold was fast nearing. The lease extension completed in November 2005. The freeholder’s charges were kept to an absolute minimum.
Last Spring we were phoned by Dr E Norbert , who took over the lease of a ground floor flat in Alfreton in November 1995. The dilemma was if we could approximate the compensation to the landlord would likely be to prolong the lease by ninety years. Similar residencies in Alfreton with 100 year plus lease were worth £260,000. The average amount of ground rent was £50 billed yearly. The lease expired on 6 May 2098. Considering the 73 years left we estimated the premium to the freeholder for the lease extension to be between £9,500 and £11,000 exclusive of costs.
In 2014 we were phoned by Dr E Moreau who, having bought a basement apartment in Alfreton in April 2010. We are asked if we could approximate the price would likely be for a ninety year extension to my lease. Identical residencies in Alfreton with a long lease were worth £264,000. The average amount of ground rent was £60 invoiced every twelve months. The lease concluded on 25 January 2078. Having 53 years outstanding we approximated the premium to the landlord for the lease extension to be within £37,100 and £42,800 not including costs.