Why you should commence your Rawcliffe lease extension
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Main reasons to commence your Rawcliffe lease extension today:
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<h4> A <a href="http://www.lendermonitor.com/conveyancing/loc/rawcliffe">Rawcliffe</a> leasehold property depreciates with the years remaining on the lease.
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<p> When it comes to domestic leasehold property in Rawcliffe, you are in fact renting it for a certain period of time. Modern flat leases typically tend to be for 99 years or 125. Many leasehold owners become complacent as this seems like a lengthy period of time, you should think about a lease extension sooner rather than later. The general rule is that the shorter the number of years is the cost of extending the lease increases markedly especially once there are fewer than eighty years left. Leasehold owners in Rawcliffe with a lease nearing 81 years left should seriously consider extending it without delay. When the lease term has below eighty years outstanding, under the current Act the landlord is entitled to calculate and levy a greater premium, assessed on a technical computation, known as “marriage value” which is due. <h4>Rawcliffe property with a lease extension has roughly the same value as a freehold</h4>
<p> It is conventional wisdom that a residential leasehold with over 100 years unexpired lease term is worth approximately the equivalent as a freehold. Where an additional 90 years added to all but the shortest lease, the property will be worth the same as a freehold for many years in the future.
<h4>Banks and Building Societies may not loan monies on a short lease</h4> Almost all mortgage companies require a lengthy amount of time left on any leasehold property before they will consider providing a mortgage on it. Regardless of whether you need a mortgage, you should be mindful that it is reasonable to assume that someone wanting to acquire your property in the future might well do, so where they can't get a mortgage, then the value of your property could be adversely impacted. Since 2008 most banks and building societies have increased the required minimum lease length that they are willing to accept <p>
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<th> Requirement
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<td>Accord Mortgages</td>
<td> 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.
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<td>Godiva Mortgages</td>
<td> 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.
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<td>Halifax</td>
<td> Minimum 70 years from the date of the mortgage.
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<td>TSB</td>
<td> Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption.
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<td>Virgin</td>
<td> 85 years at the time of completion. If it's less, we require it to be extended on or before completion.
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<h4>
What makes us experts in Rawcliffe lease extensions?
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<p> Irrespective of whether you are a tenant or a landlord in Rawcliffe,the lease extension lawyers that we work with will always be willing to discuss any residential leasehold matters and offer you the benefit of their in-depth market knowledge and the close ties they enjoy with Rawcliffe valuers.
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Rawcliffe Lease Extension Case Summaries:
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<h5> Amber, Rawcliffe, East Yorkshire,</h5>
<p> After protracted discussions with the landlord of her basement apartment in Rawcliffe, Amber commenced the lease extension process just as her lease was coming close to the all-important eighty-year threshold. The legal work completed in July 2010. The landlord’s fees were negotiated to slightly above 700 pounds.
<h5>Rawcliffe case:</h5>
<p> Mr and Mrs. U Pérez completed a studio apartment in Rawcliffe in August 1997. We are asked if we could approximate the compensation to the landlord would be for a 90 year extension to my lease. Similar properties in Rawcliffe with a long lease were in the region of £200,000. The mid-range ground rent payable was £50 billed per annum. The lease ended in 2104. Having 78 years left we calculated the compensation to the landlord to extend the lease to be within £8,600 and £9,800 plus costs.
<h5>Rawcliffe case:</h5>
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In 2013 we were e-mailed by Dr E Brown who, having acquired a purpose-built apartment in Rawcliffe in February 2011. We are asked if we could shed any light on how much (roughly) price would be to prolong the lease by 90 years. Identical flats in Rawcliffe with 100 year plus lease were worth £267,600. The mid-range ground rent payable was £65 collected monthly. The lease terminated in 2093. Given that there were 67 years left we calculated the compensation to the freeholder for the lease extension to be within £14,300 and £16,400 not including legals.
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