When it comes to long leasehold property in Wolviston, you are actually buying an entitlement to reside in a property for a set period of time. These days flat leases are usually granted for 99 years or 125. Many leasehold owners become complacent as this seems like a lengthy period of time, you should think about 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 more expensive especially once there are fewer than eighty years remaining. Anyone in Wolviston with a lease approaching 81 years unexpired should seriously think of extending it without delay. When a lease has under eighty years outstanding, under the current statute the landlord is entitled to calculate and demand a larger premium, based on a technical calculation, strangely termed as “marriage value” which is payable.
Leasehold premises in Wolviston with over one hundred years unexpired on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your premises. In such situations there is often little to be gained by purchasing the reversionary interest 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. |
| Bank of Scotland | Minimum 70 years from the date of the mortgage. |
| Birmingham Midshires | Minimum 70 years from the date of the mortgage. |
| 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. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
Lease extensions in Wolviston can be a difficult process. We recommend you secure guidance 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 Wolviston lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Benjamin owned a high value flat in Wolviston on the market with a lease of fraction over 59 years unexpired. Benjamin informally approached his landlord a well known Manchester-based freehold company and enquired on a premium to extend the lease. The freeholder indicated a willingness to extend the lease to 125 years on the basis of a rise in the rent to £50 annually. No ground rent would be payable on a lease extension were Benjamin to invoke his statutory right. Benjamin obtained expert legal guidance and secured satisfactory resolution informally and readily saleable.
Last Christmas we were phoned by Dr M Gómez , who acquired a one bedroom flat in Wolviston in November 2011. We are asked if we could approximate the price would be for a ninety year extension to my lease. Comparative properties in Wolviston with a long lease were worth £233,200. The mid-range ground rent payable was £60 collected quarterly. The lease came to a finish on 25 August 2086. Taking into account 61 years remaining we calculated the compensation to the landlord for the lease extension to be between £22,800 and £26,400 plus expenses.
Last Summer we were e-mailed by Mr and Mrs. B Moreau , who moved into a purpose-built flat in Wolviston in March 2007. The question was if we could approximate the compensation to the landlord could be for a ninety year extension to my lease. Comparable properties in Wolviston with 100 year plus lease were in the region of £171,800. The average amount of ground rent was £55 invoiced quarterly. The lease expired in 2075. Given that there were 50 years as a residual term we estimated the compensation to the landlord for the lease extension to be within £32,300 and £37,400 plus professional charges.