The rule of thumb is, all other factors being equal, the shorter the lease the more expensive the premium. Qualifying leaseholders in Ripley have the right to extend the lease for an additional ninety years in accordance with statute. Do think carefully before delaying your Ripley lease extension. Putting off the costs now simply escalates the premium you will ultimately be required to pay for a lease extension.
Leasehold residencies in Ripley with over 100 years unexpired on the lease are often regarded as a ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your home. In such circumstances there is often little upside in buying the freehold unless savings on ground rent and service charges warrant it.
| Lender | Requirement |
|---|---|
| Bank of Scotland | Minimum 70 years from the date of the mortgage. |
| Barclays plc | Leases with less than 70 years at the commencement of the mortgage are not acceptable. 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; |
| 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. |
| 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 75 years plus the term of the mortgage at the outset of the mortgage. |
Lease extensions in Ripley can be a difficult process. We recommend you procure professional help from a conveyancer and valuer 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 dealing with Ripley lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Following unsuccessful negotiations with the landlord of her studio flat in Ripley, Rosie started the lease extension process just as the lease was coming close to the all-important eighty-year deadline. The lease extension completed in August 2012. The freeholder’s fees were kept to an absolute minimum.
Mr Mason Wilson took over the lease of a recently refurbished apartment in Ripley in October 1998. The question was if we could estimate the price could be for a 90 year extension to my lease. Comparable premises in Ripley with an extended lease were worth £275,000. The mid-range amount of ground rent was £55 collected quarterly. The lease finished in 2102. Taking into account 76 years unexpired we estimated the premium to the freeholder for the lease extension to be between £9,500 and £11,000 exclusive of costs.
Mr and Mrs. H Lewis moved into a newly refurbished flat in Ripley in February 2006. The question was if we could approximate the price would likely be for a 90 year lease extension. Similar homes in Ripley with a long lease were in the region of £176,200. The mid-range ground rent payable was £65 billed quarterly. The lease ended on 15 March 2082. Considering the 56 years left we estimated the compensation to the landlord to extend the lease to be between £29,500 and £34,000 exclusive of costs.