Goole residential property owned on a long lease is a wasting asset because a leaseholder only owns the property for a period of years.
Leasehold properties in Goole with in excess of 100 years left on the lease are often regarded as a ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your property. In such circumstances there is often little upside in purchasing the reversionary interest unless savings on ground rent and maintenance charges justify it.
| Lender | Requirement |
|---|---|
| Barclays plc | Leases with less than 70 years at the commencement of the mortgage are not acceptable. 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; |
| Barnsley Building Society | 60 years from the date of the mortgage application subject to 35 years remaining at the end of the mortgage term. |
| Halifax | Minimum 70 years from the date of the mortgage. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
| National Westminster Bank | Mortgage term plus 30 years. 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. |
Lease extensions in Goole can be a difficult process. We recommend you secure professional help from a conveyancing solicitor and surveyor well versed in the legislation and lease extension process.
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 Goole lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
After lengthy discussions with the landlord of her first floor apartment in Goole, Paige started the lease extension process as the eighty year threshold was quickly advancing. The lease extension was concluded in September 2012. The landlord’s costs were restricted to approximately 600 pounds.
Last February we were e-mailed by Mr and Mrs. P Howard , who owned a ground floor apartment in Goole in August 2006. We are asked if we could shed any light on how much (roughly) compensation to the landlord would likely be to extend the lease by 90 years. Comparative residencies in Goole with an extended lease were in the region of £275,000. The average amount of ground rent was £55 billed monthly. The lease ran out in 2103. Having 77 years remaining we approximated the premium to the freeholder for the lease extension to be between £13,300 and £15,400 exclusive of fees.
In 2011 we were phoned by Mr J Bailey who, having moved into a studio flat in Goole in November 2000. We are asked if we could approximate the premium could be for a ninety year extension to my lease. Similar homes in Goole with an extended lease were valued around £183,600. The average amount of ground rent was £65 invoiced quarterly. The lease expired on 22 July 2083. Taking into account 57 years remaining we calculated the premium to the landlord for the lease extension to be between £28,500 and £33,000 plus legals.