Kirkby Lonsdale leases on residential properties are gradually diminishing in value. The shorter the remaining lease term becomes, the less it is worth – and accordingly any extension of the lease becomes more expensive. The majority of owners of residential leasehold property in Kirkby Lonsdale enjoy rights under legislation to extend the terms of their leases. Where you are a leasehold owner in Kirkby Lonsdale you should investigate if your lease has between 70 and ninety years left. There are compelling reasons why a Kirkby Lonsdale flat owner with a lease having around eighty years unexpired should take steps to make sure that a lease extension is effected without delay
Leasehold residencies in Kirkby Lonsdale with over one hundred years unexpired on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your home. In such circumstances there is often little upside in buying the reversionary interest unless savings on ground rent and maintenance charges merit it.
| Lender | Requirement |
|---|---|
| Bank of Scotland | Minimum 70 years from the date of the mortgage. |
| Barnsley Building Society | 60 years from the date of the mortgage application subject to 35 years remaining at the end of the mortgage term. |
| 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. |
| National Westminster Bank | Mortgage term plus 30 years. |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
Engaging our service will provide you better control over the value of your Kirkby Lonsdale leasehold, as your property will be more valuable and saleable in terms of lease length should you wish to sell. The conveyancing solicitors that we work with are well versed in the legislation handling many hundreds of lease extensions or freehold purchase transactions.
Blake was the the leasehold owner of a 2 bedroom apartment in Kirkby Lonsdale being sold with a lease of just over sixty years remaining. Blake informally contacted his freeholder being a well known Manchester-based freehold company for a lease extension. The freeholder indicated a willingness to grant an extension taking the lease to 125 years subject to a new rent initially set at £150 per annum and increase every twenty five years thereafter. No ground rent would be due on a lease extension were Blake to invoke his statutory right. Blake procured expert legal guidance and was able to make an informed decision and handle with the matter and readily saleable.
Ms A Lee acquired a recently refurbished flat in Kirkby Lonsdale in March 2003. We are asked if we could approximate the compensation to the landlord would be to extend the lease by ninety years. Similar premises in Kirkby Lonsdale with an extended lease were in the region of £250,000. The average amount of ground rent was £50 billed yearly. The lease terminated on 19 November 2093. Taking into account 69 years outstanding we estimated the premium to the landlord for the lease extension to be within £9,500 and £11,000 exclusive of legals.
Last Spring we were e-mailed by Dr U Walker , who was assigned a lease of a one bedroom flat in Kirkby Lonsdale in January 1997. The question was if we could approximate the compensation to the landlord could be for a 90 year lease extension. Identical homes in Kirkby Lonsdale with an extended lease were worth £285,000. The average ground rent payable was £55 invoiced yearly. The lease finished in 2104. Considering the 80 years remaining we approximated the premium to the freeholder to extend the lease to be within £12,400 and £14,200 plus fees.