Dalton in Furness leases on domestic deteriorating in value. if your lease has approximately 90 years left, you should start thinking about a lease extension. 80 years is a significant number: when the remaining term of a lease drops below this level then you begin paying an additional element called marriage value. Flat owners in Dalton in Furness will usually qualify for a lease extension; however a solicitor will confirm if you qualify. In certain cases you may not qualify. There are also strict deadlines and formalities to follow once the process is initiated so it’s prudent to be guided by a conveyancer during the process.
Leasehold premises in Dalton in Furness with over one hundred years remaining on the lease are often regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your premises. In such situations there is often little to be gained by buying the freehold unless savings on ground rent and service charges warrant it.
| Lender | Requirement |
|---|---|
| Accord Mortgages | 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. |
| 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. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
Lease extensions in Dalton in Furness can be a difficult process. We recommend you get guidance from a lawyer and valuer with experience in lease extensions.
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 dealing with Dalton in Furness 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 unsuccessful negotiations with the landlord of her first floor flat in Dalton in Furness, Holly initiated the lease extension process as the eighty year deadline was fast approaching. The legal work was finalised in October 2011. The freeholder’s charges were negotiated to below four hundred pounds.
Dr Oscar Alexander acquired a one bedroom flat in Dalton in Furness in September 2000. We are asked if we could estimate the price could be to prolong the lease by an additional years. Comparable properties in Dalton in Furness with a long lease were worth £208,600. The average amount of ground rent was £60 collected per annum. The lease expiry date was in 2083. Taking into account 57 years outstanding we approximated the premium to the landlord to extend the lease to be within £30,400 and £35,200 plus professional charges.
In 2012 we were approached by Mr Felix Nelson who, having moved into a garden apartment in Dalton in Furness in May 1995. We are asked if we could shed any light on how much (approximately) premium would likely be for a 90 year extension to my lease. Comparative premises in Dalton in Furness with a long lease were valued about £200,000. The average ground rent payable was £50 collected yearly. The lease ran out on 3 November 2103. Given that there were 77 years remaining we estimated the premium to the landlord for the lease extension to be within £8,600 and £9,800 plus professional charges.