On the balance of probabilities where you own a flat in Poole you actually own a long leasehold interest over your property
It is generally considered that a residential leasehold with in excess of one hundred years remaining is worth approximately the equivalent as a freehold. Where an additional ninety years added to any lease with more than 30 years remaining, the residence will be equivalent in value to a freehold for many years ahead.
| Lender | Requirement |
|---|---|
| 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. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
| Lloyds TSB Scotland | Minimum 70 years from the date of the mortgage. |
| National Westminster Bank | Mortgage term plus 30 years. |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
Lease extensions in Poole can be a difficult process. We recommend you procure guidance from a conveyancer and surveyor well versed in the legislation and lease extension process.
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 a wealth of experience procuring Poole lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Kian was the the leasehold owner of a high value apartment in Poole being sold with a lease of a little over sixty years unexpired. Kian on an informal basis contacted his freeholder being a well known Bristol-based freehold company and enquired on a premium to extend the lease. The landlord was prepared to grant an extension on non-statutory terms taking the lease to 125 years on the basis of a new rent at the outset set at £200 per annum and doubled every twenty five years thereafter. No ground rent would be payable on a lease extension were Kian to invoke his statutory right. Kian obtained expert advice and secured satisfactory resolution informally and sell the property.
Last year we were called by Dr U Martinez , who acquired a newly refurbished apartment in Poole in November 2007. The question was if we could shed any light on how much (roughly) premium would be to extend the lease by a further 90 years. Comparable premises in Poole with 100 year plus lease were worth £200,800. The average ground rent payable was £65 invoiced annually. The lease finished on 18 March 2085. Taking into account 60 years as a residual term we estimated the premium to the freeholder to extend the lease to be within £20,900 and £24,200 not including expenses.
Last year we were contacted by Dr Harvey Phillips , who acquired a basement apartment in Poole in April 2001. The dilemma was if we could estimate the premium could be to prolong the lease by an additional years. Identical residencies in Poole with 100 year plus lease were worth £255,000. The mid-range ground rent payable was £50 collected per annum. The lease concluded on 22 June 2096. Having 71 years left we approximated the premium to the landlord for the lease extension to be within £9,500 and £11,000 not including costs.