The only way is down when it comes to Lytchett Matravers lease terms. Lytchett Matravers properties that have a remaining term less than than 80 years will reduce in value at a rapid rate, and the cost of extending your lease will increase.
It is generally accepted that a residential leasehold with in excess of one hundred years unexpired lease term is worth approximately the same as a freehold. Where an additional 90 years added to all but the shortest lease, the premises will be worth the same as a freehold for many years in the future.
| 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; |
| Birmingham Midshires | Minimum 70 years from the date of the mortgage. |
| 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. |
| 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. |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
The lawyers that we work with undertake Lytchett Matravers lease extensions and help protect your position. A lease extension can be arranged to be completed to coincide with a change of ownership so the costs of the lease extension are paid for using part of the sale proceeds. You really do need expert legal advice in this difficult and technical area of law. The lawyer we work with provide it.
Two years ago David, started to get close to the 80-year mark with the lease on his ground floor apartment in Lytchett Matravers. Having bought his home twenty years previously, the lease term was of no relevance. by good luck, he noticed he would imminently be paying way over the odds for a lease extension. David arranged for a lease extension at the eleventh hour in January. David and the landlord who owned the flat above ultimately agreed on a premium of £5,500 . If he had missed the deadline, the premium would have gone up by at least £950.
In 2014 we were called by Dr Owen Davies who, having acquired a one bedroom apartment in Lytchett Matravers in June 2009. We are asked if we could approximate the compensation to the landlord would likely be to extend the lease by 90 years. Comparable flats in Lytchett Matravers with a long lease were in the region of £225,400. The mid-range amount of ground rent was £45 collected annually. The lease end date was in 2090. Taking into account 64 years outstanding we estimated the premium to the landlord to extend the lease to be between £16,200 and £18,600 not including fees.
Mrs Jordan Ali purchased a newly refurbished flat in Lytchett Matravers in March 2010. The dilemma was if we could shed any light on how much (approximately) compensation to the landlord would likely be to extend the lease by 90 years. Comparable properties in Lytchett Matravers with a long lease were worth £270,000. The mid-range amount of ground rent was £55 invoiced monthly. The lease concluded on 23 August 2101. Given that there were 75 years unexpired we estimated the compensation to the landlord to extend the lease to be within £9,500 and £11,000 plus professional charges.