Owning a apartment usually means owning a lease of the property, this is a ‘time-limited’ interest becoming shorter every day. your lease will usually be granted for a prescribed period of time , ordinarily 99 or 125 years, although we have seen longer and shorter terms in Waddon. Inevitably, the period of lease remaining reduces as time goes by. This is often ignored and only becomes a problem when the flat or house needs to be sold or refinanced. The fewer the years remaining the less it is worth and the more it will cost to extend the lease. Eligible long lease owners in Waddon have the right to extend the lease for a further 90 years under Leasehold Reform legislation. Do give due consideration before putting off your Waddon lease extension. Putting off the cost now simply increases the price you will ultimately have to pay for a lease extension
Leasehold properties in Waddon with more than one hundred years left on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your premises. In such situations there is often little to be gained by buying the freehold unless savings on ground rent and service charges merit 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. |
| Halifax | Minimum 70 years from the date of the mortgage. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
| Santander | You must report the unexpired lease term to us and await our instructions if: 1. the unexpired term assumed by our valuer is between 55 and 82 years, but the actual unexpired term differs by more than one year (whether longer or shorter); or 2. the unexpired term assumed by our valuer is more than 82 years but the actual unexpired term is less than 82 years; or 3. no valuation report is provided However, we will not accept a lease where on expiry of the mortgage: (i) less than 50 years remain and all or part of the loan is repaid on an interest-only basis: or (ii) less than 30 years remain and the loan is repaid on a capital and interest basis We will accept a lease that has been extended under the provisions of the Leasehold Reform Act 1993 provided statutory compensation would be available to the leaseholder. |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
Lease extensions in Waddon can be a difficult process. We recommend you procure guidance from a lawyer and surveyor 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 Waddon lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Off the back of lengthy correspondence with the freeholder of her garden flat in Waddon, Chloe commenced the lease extension process as the eighty year threshold was rapidly approaching. The lease extension completed in May 2008. The landlord’s charges were kept to an absolute minimum.
In 2010 we were called by Mrs P Garcia who, having moved into a garden apartment in Waddon in September 2003. The dilemma was if we could approximate the premium would be for a ninety year extension to my lease. Identical residencies in Waddon with a long lease were worth £171,800. The average amount of ground rent was £55 billed quarterly. The lease elapsed in 2076. Having 50 years left we approximated the premium to the freeholder for the lease extension to be between £33,300 and £38,400 exclusive of expenses.
An example of a Freehold Enfranchisement case for a Waddon residence is 29 Woodstock Road in April 2014. the Tribunal determined that the premiums to be paid into court in respect of the purchase of the freehold registered at HMLR under Title N0.SY3997 should be £7,217. This case related to 4 flats. The unexpired lease term was 98 years.