With a long leasehold premises in Turvey, you effectively rent it for a certain amount of time. Modern flat leases are usually granted for 99 years or 125. Many leasehold owners become complacent as this seems like a long period of time, you should consider a lease extension sooner as opposed to later. The general rule is that the shorter the lease is the cost of extending the lease gets disproportionately greater especially once there are fewer than 80 years remaining. Residents in Turvey with a lease nearing 81 years left should seriously think of extending it without delay. Once a lease has fewer than 80 years outstanding, under the relevant statute the landlord is entitled to calculate and charge a greater premium, based on a technical calculation, strangely termed as “marriage value” which is due.
Leasehold residencies in Turvey with over one hundred years outstanding on the lease are often regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your home. In such circumstances there is often little to be gained by purchasing the freehold unless savings on ground rent and service charges justify it.
| 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. |
| 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. |
| Godiva Mortgages | 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. |
| National Westminster Bank | Mortgage term plus 30 years. |
| Yorkshire 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. |
Irrespective of whether you are a tenant or a freeholder in Turvey,the lease extension solicitors that we work with will always be prepared to discuss any residential leasehold matters and offer you the benefit of their experience and the close ties they enjoy with Turvey valuers.
Last year Logan, came very near to the eighty-year threshold with the lease on his studio apartment in Turvey. In buying his flat twenty years previously, the unexpired term was of little relevance. by good luck, he realised he needed to take steps soon on a lease extension. Logan arranged for a lease extension just under the wire last June. Logan and the landlord subsequently agreed on the final figure of £5,500 . If he failed to meet the deadline, the amount would have escalated by at least £1,075.
Last Christmas we were phoned by Ms Alice Flores , who bought a newly refurbished apartment in Turvey in October 2012. The dilemma was if we could shed any light on how much (approximately) compensation to the landlord could be for a 90 year lease extension. Comparable residencies in Turvey with 100 year plus lease were worth £246,800. The mid-range ground rent payable was £60 invoiced yearly. The lease termination date was on 24 August 2075. Taking into account 50 years unexpired we estimated the compensation to the freeholder for the lease extension to be between £44,700 and £51,600 exclusive of legals.
Mr and Mrs. C Thomas acquired a first floor apartment in Turvey in September 2012. The dilemma was if we could shed any light on how much (approximately) premium would be to extend the lease by an additional years. Comparative residencies in Turvey with a long lease were valued around £203,200. The mid-range ground rent payable was £65 collected yearly. The lease ended in 2086. Having 61 years outstanding we estimated the compensation to the freeholder to extend the lease to be between £20,000 and £23,000 not including expenses.