The rule of thumb is, all other things holding equal, the shorter the lease the more expensive the premium. Qualifying leaseholders in Maryport can extend the lease for a further ninety years in accordance with the 1993 Leasehold Reform Act. Do give careful consideration before delaying your Maryport lease extension. Postponing that expense now simply escalates the amount you will ultimately be required to pay to extend the lease.
It is generally accepted that a property with more than one hundred years unexpired lease term is worth approximately the equivalent as a freehold. Where an additional ninety years added to any lease with more than 30 years unexpired, the property will be equivalent in value to a freehold for decades to come.
| 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. |
| Barclays plc | Leases with less than 70 years at the commencement of the mortgage should be declined (see exception below). Leases with greater than 70 years but fewer than 85 years remaining must be referred to issuing office. 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; |
| 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. |
| 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 |
| 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 Maryport can be a difficult process. We recommend you procure guidance from a lawyer and surveyor with experience in this area.
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 dealing with Maryport lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Last October Alex, started to get close to the 80-year mark with the lease on his two bedroom flat in Maryport. In buying his home two decades ago, the unexpired term was of little bearing. by good luck, it dawned on him that he needed to take action soon on a lease extension. Alex arranged for a lease extension just in the nick of time in September. Alex and the freeholder ultimately settled on sum of £6,000 . If the lease had slid to less than 80 years, the figure would have escalated by at least £1,150.
In 2011 we were phoned by Mr and Mrs. Y Cooper who, having moved into a one bedroom flat in Maryport in September 1998. The question was if we could shed any light on how much (approximately) price would be to extend the lease by an additional years. Comparative residencies in Maryport with an extended lease were worth £300,000. The average amount of ground rent was £50 invoiced yearly. The lease elapsed on 2 May 2101. Given that there were 76 years left we calculated the compensation to the landlord to extend the lease to be between £8,600 and £9,800 not including fees.
Last month we were approach by Dr Reuben Turner , who purchased a one bedroom flat in Maryport in August 1996. We are asked if we could approximate the price would likely be for a 90 year extension to my lease. Comparable premises in Maryport with 100 year plus lease were worth £257,800. The average amount of ground rent was £65 collected monthly. The lease finished in 2090. Considering the 65 years unexpired we estimated the compensation to the freeholder for the lease extension to be between £17,100 and £19,800 exclusive of expenses.