Owning a apartment usually means owning a lease of the property, which has a finite term of years. The lease will usually be granted for a set period of time , usually 99 or 125 years, although we have come across longer and shorter terms in Goole. Inevitably, the term of lease left shortens over time. This may pass by relatively unnoticed when the flat or house needs to be disposed of or re-mortgaged. The shorter the lease the lower the value of the property and the more expensive it will be to procure a lease extension. Qualifying long lease owners in Goole have the legal entitlement to extend the lease for an additional 90 years under the 1993 Leasehold Reform Act. You should give careful attention before putting off your Goole lease extension. Putting off that expense now only increases the price you will eventually incur for a lease extension
It is generally considered that a residential leasehold with over one hundred years remaining is worth roughly the equivalent as a freehold. Where an further 90 years added to any lease with more than 35 years remaining, the residence will be worth the same as a freehold for many years ahead.
| 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. |
| Coventry Building Society | A minimum of 70 years unexpired lease at completion for all scheme types apart from Lifetime Mortgages (Equity Release), which require a minimum unexpired term of 80 years at completion. |
| Godiva Mortgages | A minimum of 70 years unexpired lease at completion for all scheme types apart from Lifetime Mortgages (Equity Release), which require a minimum unexpired term of 80 years at completion. |
| Halifax | Minimum 70 years from the date of the mortgage. |
| 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. |
Lease extensions in Goole can be a difficult process. We recommend you obtain professional help 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 Goole 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 correspondence with the landlord of her one bedroom apartment in Goole, Kate initiated the lease extension process just as her lease was nearing the critical eighty-year mark. The lease extension was concluded in February 2013. The freeholder’s charges were kept to an absolute minimum.
Last Spring we were phoned by Dr S Davies , who completed a first floor apartment in Goole in May 1997. We are asked if we could estimate the price would be to prolong the lease by ninety years. Comparable residencies in Goole with an extended lease were worth £280,000. The average amount of ground rent was £55 collected every twelve months. The lease ran out on 16 November 2101. Given that there were 77 years outstanding we estimated the premium to the landlord to extend the lease to be within £13,300 and £15,400 plus fees.
Mr and Mrs. V Baker was assigned a lease of a one bedroom apartment in Goole in March 2003. We are asked if we could approximate the price could be for a 90 year lease extension. Similar properties in Goole with an extended lease were worth £183,600. The average ground rent payable was £65 invoiced monthly. The lease termination date was in 2081. Having 57 years remaining we estimated the compensation to the landlord for the lease extension to be within £28,500 and £33,000 exclusive of expenses.