Chances are that where you own a flat in Maryport you actually own a long leasehold interest over your property
Leasehold premises in Maryport with in excess of 100 years remaining 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 situations there is often little to be gained by purchasing the freehold unless savings on ground rent and maintenance charges justify 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. |
| 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. |
| 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. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
The lawyers that we work with procure Maryport 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 conveyancer we work with provide it.
After unsuccessful correspondence with the landlord of her purpose-built flat in Maryport, Holly commenced the lease extension process as the 80 year deadline was swiftly approaching. The transaction completed in November 2015. The landlord’s costs were kept to an absolute minimum.
In 2013 we were phoned by Ms Kayleigh Nguyen who, having bought a studio flat in Maryport in May 2004. The dilemma was if we could estimate the premium would be for a 90 year lease extension. Identical premises in Maryport with a long lease were in the region of £205,000. The average ground rent payable was £50 collected yearly. The lease ran out in 2104. Considering the 79 years as a residual term we calculated the premium to the landlord to extend the lease to be within £8,600 and £9,800 not including professional charges.
In 2010 we were approached by Mr and Mrs. P Cooper who, having moved into a basement apartment in Maryport in October 1995. We are asked if we could approximate the compensation to the landlord could be for a ninety year lease extension. Identical homes in Maryport with 100 year plus lease were worth £275,000. The mid-range amount of ground rent was £65 billed per annum. The lease lapsed on 15 September 2093. Given that there were 68 years unexpired we estimated the premium to the freeholder for the lease extension to be between £13,300 and £15,400 exclusive of expenses.