With a domestic leasehold property in Lymm, you are in fact renting it for a certain amount of time. These days flat leases typically tend to be for 99 years or 125. Even though this may appear like a long period of time, you should think about extending the lease sooner rather than later. Accepted thinking is that the shorter the number of years is the cost of extending the lease increases markedly particularly when there are less than eighty years remaining. Residents in Lymm with a lease approaching 81 years remaining should seriously think of extending it without delay. When a lease has less than 80 years left, under the current legislation the landlord can calculate and demand a greater amount, based on a technical computation, known as “marriage value” which is due.
It is generally considered that a property with in excess of one hundred years remaining is worth roughly the same as a freehold. Where an additional ninety years added to all but the shortest lease, the residence will be equivalent in value to a freehold for many years in the future.
| Lender | Requirement |
|---|---|
| Birmingham Midshires | Minimum 70 years from the date of the mortgage. |
| Halifax | Minimum 70 years from the date of the mortgage. |
| TSB | Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption. |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
| Yorkshire 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. |
Lease extensions in Lymm can be a difficult process. We recommend you secure professional help from a conveyancing solicitor and valuer 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 Lymm lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Oscar owned a conversion flat in Lymm on the market with a lease of a few days over 61 years left. Oscar on an informal basis spoke with 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 on the basis of an increased rent to £50 yearly. No ground rent would be payable on a lease extension were Oscar to exercise his statutory right. Oscar obtained expert advice and secured satisfactory deal informally and sell the flat.
Last June we were phoned by Mr and Mrs. U Torres , who purchased a one bedroom apartment in Lymm in January 2009. We are asked if we could shed any light on how much (roughly) compensation to the landlord would be to prolong the lease by 90 years. Similar residencies in Lymm with an extended lease were in the region of £270,000. The mid-range ground rent payable was £55 invoiced quarterly. The lease expired on 4 April 2100. Having 74 years as a residual term we approximated the premium to the landlord to extend the lease to be between £9,500 and £11,000 exclusive of expenses.
In 2013 we were called by Dr James Michel who, having owned a purpose-built apartment in Lymm in January 2004. We are asked if we could shed any light on how much (approximately) premium would likely be for a ninety year lease extension. Comparative properties in Lymm with 100 year plus lease were in the region of £166,400. The average ground rent payable was £60 billed quarterly. The lease concluded in 2080. Having 54 years remaining we estimated the premium to the freeholder to extend the lease to be within £32,300 and £37,400 plus professional charges.