The rule of thumb is, all other factors being equal, the shorter the lease the more costly the premium. Qualifying leaseholders in Long Eaton can extend the lease for an additional 90 years in accordance with the 1993 Leasehold Reform Act. Do think carefully before delaying your Long Eaton lease extension. Postponing the costs today simply increases the premium you will ultimately have to pay to extend the lease.
Leasehold residencies in Long Eaton with more than 100 years outstanding on the lease are often referred to as ‘virtual freehold’. This is where the lease value the same as a freehold interest in your premises. In such situations there is often little to be gained by buying the freehold unless savings on ground rent and maintenance charges warrant it.
| 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. |
| Chelsea Building Society | 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. |
| 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. |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
Regardless of whether you are a tenant or a freeholder in Long Eaton,the lease extension lawyers that we work with will always be happy to discuss any residential leasehold matters and offer you the benefit of their in-depth market knowledge and the close ties they enjoy with Long Eaton valuers.
Eliot was the the leasehold owner of a 2 bedroom apartment in Long Eaton on the market with a lease of fraction over 59 years left. Eliot informally approached his landlord a well known Manchester-based freehold company for a lease extension. The landlord was prepared to grant an extension on non-statutory terms taking the lease to 125 years subject to a new rent at the outset set at £100 per annum and doubled every 25 years thereafter. Ordinarily, ground rent would not be payable on a lease extension were Eliot to exercise his statutory right. Eliot procured expert advice and was able to make a more informed decision and deal with the matter and sell the property.
Last May we were e-mailed by Mr and Mrs. K Roux , who was assigned a lease of a ground floor flat in Long Eaton in January 2005. We are asked if we could approximate the compensation to the landlord would likely be for a ninety year lease extension. Identical properties in Long Eaton with a long lease were in the region of £295,000. The average amount of ground rent was £45 billed annually. The lease expiry date was on 22 June 2100. Given that there were 74 years remaining we calculated the premium to the freeholder to extend the lease to be within £9,500 and £11,000 not including fees.
Last month we were phoned by Mr Nathaniel Bell , who moved into a first floor flat in Long Eaton in February 2009. We are asked if we could shed any light on how much (approximately) compensation to the landlord could be for a 90 year lease extension. Identical residencies in Long Eaton with a long lease were valued around £243,000. The average amount of ground rent was £65 invoiced yearly. The lease finished on 1 March 2089. Having 63 years outstanding we calculated the compensation to the landlord for the lease extension to be within £20,000 and £23,000 not including expenses.