There is no doubt about it a leasehold property in Fairford is a wasting asset as a result of the diminishing lease term. If the lease has, over 125 years remaining then this decrease may be fractional nevertheless there will become a stage when a lease has under than 80 years remaining as part of the premium you will incur is what is known as a marriage value. This could increase markedly the cost. It is the primary rational as to why you should consider extending without delay. The majority of flat owners in Fairford will meet the qualifying criteria; however a conveyancer should be able to advise if you are eligible for a lease extension. In certain situations you may not qualify, the most frequent reason being that you have owned the property for less than two years.
Leasehold properties in Fairford with more than 100 years outstanding on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your property. In such situations there is often little upside in buying the freehold unless savings on ground rent and estate charges justify it.
| Lender | Requirement |
|---|---|
| Birmingham Midshires | Minimum 70 years from the date of the mortgage. |
| Halifax | Minimum 70 years from the date 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 |
| 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 Fairford 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 in-depth market knowledge procuring Fairford lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Two years ago Nathaniel, started to get near to the eighty-year mark with the lease on his studio apartment in Fairford. Having purchased his home twenty years ago, the unexpired term was of little concern. by good luck, he recognised he needed to take action soon on Extending the lease. Nathaniel arranged for a lease extension at the eleventh hour last September. Nathaniel and the landlord who owned the flat above subsequently settled on sum of £5,500 . If the lease had descended lower than eighty years, the sum would have escalated by at least £1,125.
Mr and Mrs. V Thompson owned a garden apartment in Fairford in May 2007. We are asked if we could estimate the price would likely be for a ninety year extension to my lease. Comparable properties in Fairford with 100 year plus lease were worth £205,000. The average amount of ground rent was £50 invoiced quarterly. The lease lapsed in 2103. Having 78 years as a residual term we approximated the compensation to the landlord for the lease extension to be within £7,600 and £8,800 plus legals.
In 2009 we were phoned by Mr and Mrs. M Jones who, having acquired a ground floor apartment in Fairford in February 1995. The question was if we could approximate the premium would likely be for a 90 year extension to my lease. Comparative properties in Fairford with an extended lease were in the region of £267,600. The mid-range ground rent payable was £65 collected per annum. The lease end date was on 27 March 2092. Given that there were 67 years outstanding we approximated the compensation to the freeholder to extend the lease to be between £14,300 and £16,400 exclusive of fees.