Alfriston leases on residential properties are gradually losing value. The shorter the remaining lease term becomes, the less it is worth – and as a result any extension of your lease gets more expensive. Legislation has been in place for sometime now allowing qualifying Alfriston residential leaseholders to extend the terms of long leases. If you are a leasehold owner in Alfriston you must check if your lease has between seventy and 90 years remaining. There are good reasons why a Alfriston leaseholder with a lease having around 80 years remaining should take steps to make sure that a lease extension is actioned without delay
It is generally accepted that a residential leasehold with in excess of one hundred years remaining is worth approximately the same as a freehold. Where an additional 90 years added to all but the shortest lease, the property will be equivalent in value to a freehold for many years in the future.
| Lender | Requirement |
|---|---|
| Bank of Scotland | 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. |
| Santander | You must report the unexpired lease term to us and await our instructions if: 1. the unexpired term assumed by our valuer is between 55 and 82 years, but the actual unexpired term differs by more than one year (whether longer or shorter); or 2. the unexpired term assumed by our valuer is more than 82 years but the actual unexpired term is less than 82 years; or 3. no valuation report is provided However, we will not accept a lease where on expiry of the mortgage: (i) less than 50 years remain and all or part of the loan is repaid on an interest-only basis: or (ii) less than 30 years remain and the loan is repaid on a capital and interest basis We will accept a lease that has been extended under the provisions of the Leasehold Reform Act 1993 provided statutory compensation would be available to the leaseholder. |
| TSB | Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption. |
Engaging our service will provide you enhanced control over the value of your Alfriston leasehold, as your property will be more valuable and marketable in relation to the lease length should you decide 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.
In the wake of eight months of lengthy correspondence with the freeholder of her purpose-built flat in Alfriston, Mollie commenced the lease extension process as the 80 year threshold was quickly coming. The lease extension was concluded in October 2007. The landlord’s costs were kept to an absolute minimum.
In 2011 we were e-mailed by Dr G Mitchell who, having was assigned a lease of a ground floor flat in Alfriston in September 1999. We are asked if we could shed any light on how much (roughly) price could be to prolong the lease by an additional years. Comparable residencies in Alfriston with a long lease were worth £290,000. The mid-range amount of ground rent was £45 billed monthly. The lease came to a finish on 1 January 2098. Considering the 73 years outstanding we calculated the compensation to the landlord to extend the lease to be within £9,500 and £11,000 not including expenses.
Mr and Mrs. A Mason purchased a garden apartment in Alfriston in August 1995. The question was if we could shed any light on how much (roughly) compensation to the landlord could be to extend the lease by an additional years. Comparative premises in Alfriston with an extended lease were in the region of £240,600. The mid-range ground rent payable was £60 billed quarterly. The lease expired on 6 April 2087. Considering the 62 years as a residual term we estimated the premium to the landlord to extend the lease to be within £21,900 and £25,200 plus legals.