The nearer a residential lease in Torquay gets to zero years unexpired, the the greater the reduction in the value of the property. If the residual term has, in excess of 99 years to run then this decrease may be fractional nevertheless there will become a stage when a lease has fewer than eighty years unexpired as part of the premium you will incur is what is known as a marriage value. This could increase markedly the cost. It is the primary rational as to why you should extend the lease without delay. The majority of flat owners in Torquay will meet the qualifying criteria; nevertheless a conveyancer can confirm if you are eligible for a lease extension. In certain situations you may not qualify, the most common reason being that you have owned the property for under two years.
It is generally considered that a property with more than one hundred years remaining is worth approximately the same as a freehold. Where an additional ninety years added to all but the shortest lease, the property will be equivalent in value to a freehold for decades to come.
| Lender | Requirement |
|---|---|
| Accord Mortgages | 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. |
| Birmingham Midshires | Minimum 70 years from the date of the mortgage. |
| 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. |
| Lloyds TSB Scotland | Minimum 70 years from the date of the mortgage. |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
Lease extensions in Torquay can be a difficult process. We recommend you get professional help from a conveyancing solicitor 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 procuring Torquay lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
After lengthy correspondence with the landlord of her ground floor apartment in Torquay, Natalie initiated the lease extension process as the eighty year mark was quickly nearing. The transaction was finalised in July 2015. The freeholder’s fees were kept to an absolute minimum.
Mr O Murphy owned a garden apartment in Torquay in February 2006. The question was if we could approximate the premium could be for a ninety year lease extension. Comparable properties in Torquay with 100 year plus lease were in the region of £186,000. The average amount of ground rent was £65 billed quarterly. The lease elapsed on 28 August 2083. Given that there were 58 years outstanding we approximated the compensation to the freeholder for the lease extension to be within £24,700 and £28,600 plus costs.
Last year we were contacted by Mr J Miller , who took over the lease of a basement apartment in Torquay in March 1999. We are asked if we could estimate the premium would likely be for a ninety year lease extension. Comparable residencies in Torquay with an extended lease were in the region of £250,000. The average amount of ground rent was £50 invoiced yearly. The lease expired in 2094. Having 69 years left we estimated the premium to the freeholder for the lease extension to be within £9,500 and £11,000 exclusive of expenses.