Wolviston leases on domestic properties are gradually losing value. if your lease has in the region of ninety years left, you should start thinking about a lease extension. Eighty years is a significant number: when the remaining term of a lease dips below this level then you begin incurring an additional element called marriage value. Leasehold owners in Wolviston will usually qualify for a lease extension; however it’s a good idea to check with a lawyer to check your eligibility. In certain situations you may not be entitled. There are also strict deadlines and procedures to follow once the process is initiated so it’s best to be guided by a conveyancing solicitor during the process.
Leasehold premises in Wolviston with over 100 years outstanding on the lease are often referred to as ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your property. In such situations there is often little to be gained by purchasing the reversionary interest unless savings on ground rent and estate charges justify it.
| Lender | Requirement |
|---|---|
| Barnsley Building Society | 60 years from the date of the mortgage application subject to 35 years remaining at the end of the mortgage term. |
| 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. |
| National Westminster Bank | Mortgage term plus 30 years. For Shared Ownership, the remaining term of the lease must be at least 75 years plus the term of the mortgage at the outset of the mortgage. |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
The lawyers that we work with undertake Wolviston lease extensions and help protect your position. A lease extension can be arranged to be completed to coincide with a change of ownership so the costs of the lease extension are paid for using part of the sale proceeds. You really do need expert legal advice in this difficult and technical area of law. The lawyer we work with provide it.
Nathan was the the leasehold owner of a 2 bedroom flat in Wolviston being sold with a lease of fraction over sixty years left. Nathan on an informal basis spoke with his freeholder a well known London-based freehold company for a lease extension. The landlord indicated a willingness to extend the lease to 125 years on the basis of a rise in the rent to £200 per annum. No ground rent would be payable on a lease extension were Nathan to invoke his statutory right. Nathan procured expert advice and was able to make an informed decision and handle with the matter and readily saleable.
Last year we were contacted by Ms O Johnson , who moved into a basement apartment in Wolviston in June 2003. The dilemma was if we could approximate the premium would be for a 90 year extension to my lease. Similar premises in Wolviston with 100 year plus lease were worth £196,400. The average amount of ground rent was £55 collected quarterly. The lease ran out in 2080. Considering the 54 years remaining we estimated the compensation to the landlord for the lease extension to be within £35,200 and £40,600 not including costs.
In 2014 we were approached by Dr T Rogers who, having took over the lease of a newly refurbished apartment in Wolviston in January 2003. The question was if we could estimate the compensation to the landlord would likely be for a ninety year extension to my lease. Similar flats in Wolviston with a long lease were valued around £295,000. The average amount of ground rent was £45 collected per annum. The lease ran out on 27 October 2100. Taking into account 74 years unexpired we estimated the compensation to the landlord for the lease extension to be within £8,600 and £9,800 not including legals.