The rule of thumb is, all other factors being equal, the shorter the lease the more costly the premium. Qualifying leaseholders in Cheetham Hill can extend the lease for an additional ninety years in accordance with the 1993 Leasehold Reform Act. Do give careful consideration before delaying your Cheetham Hill lease extension. Shelving the costs now simply escalates the premium you will eventually have to pay to extend the lease.
It is conventional wisdom that a residential leasehold with over one hundred years unexpired lease term is worth approximately the same as a freehold. Where an additional ninety years added to any lease with more than 45 years remaining, the property will be equivalent in value to a freehold for many years in the future.
| 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. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
| Skipton Building Society | 85 years from the date of completion of the mortgage For Buy to Let cases: - lettings must not breach any of the lessee’s covenants; and - consent of the lessor to lettings must be obtained if necessary |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
| 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 Cheetham Hill leasehold, as your property will be more valuable and marketable in respect of lease length should you want to sell. The conveyancers that we work with are well versed in the legislation handling many hundreds of lease extensions or freehold purchase transactions.
During the course of the last few months Connor, came seriously near to the eighty-year mark with the lease on his first floor apartment in Cheetham Hill. In buying his flat 18 years previously, the unexpired term was of minimal relevance. by good luck, he realised he would soon be paying way over the odds for Extending the lease. Connor extended the lease just under the wire last August. Connor and the freeholder via the management company in the end agreed on the final figure of £6,000 . If the lease had dropped lower than eighty years, the figure would have escalated by at least £850.
In 2014 we were e-mailed by Mr and Mrs. G Taylor who, having owned a one bedroom apartment in Cheetham Hill in August 2002. We are asked if we could estimate the compensation to the landlord would be to prolong the lease by a further 90 years. Comparable residencies in Cheetham Hill with an extended lease were worth £260,000. The mid-range ground rent payable was £50 collected monthly. The lease ended in 2097. Having 72 years as a residual term we approximated the compensation to the freeholder for the lease extension to be within £9,500 and £11,000 plus costs.
Mr and Mrs. T Hill took over the lease of a studio apartment in Cheetham Hill in March 2003. We are asked if we could shed any light on how much (roughly) premium would likely be for a ninety year extension to my lease. Identical flats in Cheetham Hill with an extended lease were worth £256,600. The mid-range amount of ground rent was £60 billed per annum. The lease terminated on 3 March 2077. Considering the 52 years unexpired we calculated the compensation to the landlord to extend the lease to be within £39,000 and £45,000 not including expenses.