With a residential leasehold property in Nailsworth, you are actually buying a right to live in a property for a prescribed time frame. In recent years flat leases are usually granted for 99 years or 125. Many leasehold owners are unconcerned as this seems like a lengthy period of time, you may think about extending the lease sooner as opposed to later. Accepted thinking is that the shorter the number of years is the cost of extending the lease increases markedly especially when there are fewer than eighty years remaining. Leasehold owners in Nailsworth with a lease drawing near to 81 years remaining should seriously think of extending it without delay. Once the lease term has under 80 years remaining, under the relevant legislation the landlord can calculate and charge a greater premium, assessed on a technical calculation, known as “marriage value” which is due.
It is generally considered that a property with more than one hundred years unexpired lease term is worth roughly 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 ahead.
| Lender | Requirement |
|---|---|
| Barnsley Building Society | 60 years from the date of the mortgage application subject to 35 years remaining at the end of the mortgage term. |
| 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. |
| Halifax | Minimum 70 years from the date of the mortgage. |
| National Westminster Bank | Mortgage term plus 30 years. For Shared Ownership, the remaining term of the lease must be at least 30 years plus the term of the mortgage at the outset of the mortgage. |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
Lease extensions in Nailsworth can be a difficult process. We recommend you secure professional help from a lawyer and valuer with experience in lease extensions.
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 Nailsworth lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
In the wake of eight months of lengthy correspondence with the freeholder of her two bedroom apartment in Nailsworth, Lauren initiated the lease extension process as the eighty year deadline was fast approaching. The legal work was finalised in July 2013. The freeholder’s fees were negotiated to a tad over 500 pounds.
In 2010 we were phoned by Mr and Mrs. Y Leroy who, having owned a studio apartment in Nailsworth in April 2011. The question was if we could estimate the compensation to the landlord would be to prolong the lease by an additional years. Comparative flats in Nailsworth with an extended lease were in the region of £166,800. The average ground rent payable was £50 billed quarterly. The lease expired on 23 June 2076. Considering the 50 years as a residual term we calculated the premium to the freeholder to extend the lease to be between £32,300 and £37,400 exclusive of costs.
Last Winter we were e-mailed by Mrs Kate Dupont , who took over the lease of a recently refurbished apartment in Nailsworth in May 2000. The dilemma was if we could estimate the price would likely be for a ninety year lease extension. Comparative homes in Nailsworth with an extended lease were in the region of £280,000. The average amount of ground rent was £45 collected every twelve months. The lease ended on 1 June 2096. Considering the 70 years remaining we approximated the compensation to the landlord for the lease extension to be between £12,400 and £14,200 exclusive of expenses.