Chances are that where you own a flat in Lymm you actually own a long leasehold interest over your property
Leasehold properties in Lymm with in excess of 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 home. In such situations there is often little upside in purchasing the freehold unless savings on ground rent and service charges merit it.
| Lender | Requirement |
|---|---|
| Godiva Mortgages | 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. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
| National Westminster Bank | Mortgage term plus 30 years. |
| Skipton Building Society | 85 years from the date of completion of the mortgage For Buy to Let cases: - lettings must not breach any of the lessee’s covenants; and - consent of the lessor to lettings must be obtained if necessary |
| TSB | Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption. |
Retaining our service gives you better control over the value of your Lymm leasehold, as your property will be more valuable and saleable in relation to the lease length should you want to sell. The conveyancers that we work with have a wealth of experience of handling many hundreds of lease extensions or freehold purchase transactions.
Last year Luke, came seriously near to the 80-year mark with the lease on his basement apartment in Lymm. In buying his flat 19 years ago, the unexpired term was of minimal concern. Fortunately, he realised he needed to take action soon on a lease extension. Luke was able to extend his lease just ahead of time in July. Luke and the freeholder in the end settled on an amount of £6,000 . If the lease had dipped lower than eighty years, the figure would have gone up by at least £1,100.
Last month we were called by Mr and Mrs. D Mercier , who was assigned a lease of a one bedroom apartment in Lymm in April 2001. We are asked if we could shed any light on how much (roughly) price would be for a 90 year lease extension. Identical flats in Lymm with an extended lease were in the region of £246,800. The average amount of ground rent was £60 invoiced per annum. The lease terminated in 2075. Considering the 50 years as a residual term we estimated the compensation to the freeholder for the lease extension to be within £44,700 and £51,600 exclusive of legals.
Mrs A Nelson bought a purpose-built flat in Lymm in August 2010. We are asked if we could estimate the price would likely be to prolong the lease by ninety years. Identical homes in Lymm with an extended lease were in the region of £208,200. The mid-range amount of ground rent was £65 invoiced every twelve months. The lease lapsed on 14 October 2086. Considering the 61 years outstanding we calculated the compensation to the landlord for the lease extension to be between £20,000 and £23,000 exclusive of expenses.