Sunningdale leases on domestic properties are gradually losing value. if your lease has approximately ninety years left, you should start thinking about a lease extension. Eighty years is a significant number: when the remaining term of a lease drops below this level then you begin paying an additional element called marriage value. Leasehold owners in Sunningdale will usually be legally entitled to a lease extension; however a solicitor will check if you qualify. In some situations you may not qualify. There are prescribed deadlines and formalities to follow once the process has commenced so it’s best to be guided by a conveyancing solicitor during the process.
It is conventional wisdom that a property with over one hundred years remaining is worth approximately the same as a freehold. Where an further ninety years added to all but the shortest lease, the property 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. |
| 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. |
| Lloyds TSB Scotland | Minimum 70 years from the date of the mortgage. |
| TSB | Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption. |
Regardless of whether you are a tenant or a freeholder in Sunningdale,the lease extension solicitors 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 Sunningdale valuers.
In the wake of 9 months of protracted negotiations with the landlord of her ground floor apartment in Sunningdale, Isobel started the lease extension process just as her lease was coming close to the crucial eighty-year deadline. The legal work was finalised in October 2005. The landlord’s fees were negotiated to under 550 GBP.
Last Summer we were e-mailed by Dr Zoe Watson , who moved into a first floor apartment in Sunningdale in April 2004. We are asked if we could approximate the premium could be to extend the lease by ninety years. Comparable properties in Sunningdale with an extended lease were valued around £270,000. The average amount of ground rent was £55 collected quarterly. The lease ran out on 25 June 2101. Taking into account 75 years unexpired we calculated the compensation to the landlord to extend the lease to be within £9,500 and £11,000 plus professional charges.
In 2014 we were called by Ms Alice Kelly who, having moved into a ground floor flat in Sunningdale in May 1998. The question was if we could shed any light on how much (approximately) price would be for a ninety year extension to my lease. Similar premises in Sunningdale with an extended lease were in the region of £173,800. The average ground rent payable was £60 billed every twelve months. The lease elapsed in 2081. Given that there were 55 years left we estimated the premium to the freeholder to extend the lease to be within £31,400 and £36,200 exclusive of costs.