Main reasons to commence your Goole lease extension
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Why you should commence your Goole lease extension today: </h3>
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Increase your lease and increase your <a href="http://www.lendermonitor.com/conveyancing/loc/goole">Goole</a> property value </h4>
<p> On the balance of probabilities if you own a flat in Goole you actually own a long leasehold interest over your property
<h4>An extended lease is almost the same value as a freehold</h4>
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Leasehold residencies in Goole with in excess of one hundred years left on the lease are often referred to as ‘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 to be gained by buying the freehold unless savings on ground rent and service charges merit it. <h4>Lenders may not grant a mortgage with a short lease</h4> Lenders are tightening their criteria and many now require flats to have a minimum of sixty if not seventy years left at the expiry of the mortgage. As a number of flats in Goole were created in the fifties, sixties and seventies this means many now require lease extensions if they wish to obtain a mortgage.
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<tr><th>Lender</th>
<th> Requirement
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<td>Barclays plc</td>
<td> Leases with less than 70 years at the commencement of the mortgage should be declined (see exception below).<br /><br />Leases with greater than 70 years but fewer than 85 years remaining must be referred to issuing office.<br /><br />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:<br /><br />• 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<br />• The value of the property subject to the short remaining term is £500,000 or more AND<br />• 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;
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<td>Halifax</td>
<td> Minimum 70 years from the date of the mortgage.
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<td>National Westminster Bank</td>
<td> Mortgage term plus 30 years.<br /><br />For Shared Ownership, the remaining term of the lease must be at least 75 years plus the term of the mortgage at the outset of the mortgage.
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<td>Virgin</td>
<td> 85 years at the time of completion. If it's less, we require it to be extended on or before completion.
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<td>Yorkshire Building Society</td>
<td> 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.
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<h4>
Why use us for your lease extension in Goole? </h4>
<p> Irrespective of whether you are a tenant or a freeholder in Goole,the lease extension solicitors that we work with will always be prepared to discuss any residential leasehold matters and offer you the benefit of their in-depth market knowledge and the close ties they enjoy with Goole valuers.
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Goole Lease Extension Example Cases:
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<h5> Alex, Goole, East Yorkshire,</h5>
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Alex owned a high value apartment in Goole being sold with a lease of a little over fifty eight years left. Alex on an informal basis contacted his freeholder being a well known Manchester-based freehold company and enquired on a premium to extend the lease. The landlord indicated a willingness to grant an extension taking the lease to 125 years subject to an increased rent to £100 yearly. No ground rent would be due on a lease extension were Alex to exercise his statutory right. Alex procured expert advice and was able to make an informed decision and deal with the matter and readily saleable.
<h5>Goole case:</h5>
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In 2011 we were approached by Mr and Mrs. T Hernández who, having purchased a first floor flat in Goole in March 2006. The dilemma was if we could estimate the price would likely be to extend the lease by a further 90 years. Comparable homes in Goole with an extended lease were in the region of £210,600. The mid-range ground rent payable was £45 collected quarterly. The lease ended in 2088. Given that there were 62 years left we calculated the compensation to the landlord to extend the lease to be within £18,100 and £20,800 exclusive of expenses.
<h5>Goole case:</h5>
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In 2013 we were contacted by Ms Robyn Petit who, having acquired a basement flat in Goole in July 2003. We are asked if we could approximate the compensation to the landlord would likely be to prolong the lease by a further 90 years. Similar residencies in Goole with a long lease were in the region of £265,000. The average amount of ground rent was £50 billed per annum. The lease concluded on 16 April 2099. Having 73 years unexpired we calculated the premium to the landlord for the lease extension to be between £9,500 and £11,000 plus professional charges.
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