Wolviston leases on residential properties are gradually losing value. The shorter the remaining lease term becomes, the less it is worth – and as a result any extension of your lease becomes more expensive. The majority of owners of residential leasehold property in Wolviston enjoy rights under legislation to extend the terms of their leases. Where you are a leasehold owner in Wolviston you really ought to see if your lease has between seventy and 90 years left. In particular once the remaining lease term slips under eighty years, the amount payable for any lease extension increases dramatically as an element of the premium you pay is what is known as a marriage value
It is conventional wisdom that a residential leasehold with over 100 years unexpired lease term is worth approximately the same as a freehold. Where an additional 90 years added to all but the shortest lease, the residence will be equivalent in value to a freehold for decades to come.
| Lender | Requirement |
|---|---|
| Bank of Scotland | Minimum 70 years from the date of the mortgage. |
| Birmingham Midshires | Minimum 70 years from the date of the mortgage. |
| Coventry Building Society | 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. |
| Skipton Building Society | 85 years from the date of completion of the mortgage For Buy to Let cases: - lettings must not breach any of the lessee’s covenants; and - consent of the lessor to lettings must be obtained if necessary |
Regardless of whether you are a tenant or a freeholder in Wolviston,the lease extension lawyers that we work with will always be happy to discuss any residential leasehold matters and offer you the benefit of their in-depth market knowledge and the close ties they enjoy with Wolviston valuers.
Subsequent to lengthy discussions with the landlord of her first floor apartment in Wolviston, Daisy started the lease extension process as the eighty year threshold was quickly advancing. The lease extension was finalised in January 2015. The landlord’s charges were negotiated to below four hundred pounds.
Dr Chloe Richardson moved into a one bedroom flat in Wolviston in October 2012. The dilemma was if we could estimate the premium would be for a ninety year lease extension. Similar homes in Wolviston with an extended lease were valued around £198,800. The average ground rent payable was £55 invoiced yearly. The lease ran out in 2081. Having 55 years remaining we calculated the premium to the landlord to extend the lease to be within £33,300 and £38,400 not including legals.
In 2009 we were phoned by Ms B González who, having owned a recently refurbished apartment in Wolviston in January 2009. We are asked if we could shed any light on how much (approximately) compensation to the landlord would likely be to prolong the lease by a further 90 years. Identical homes in Wolviston with 100 year plus lease were valued around £300,000. The average ground rent payable was £50 billed per annum. The lease came to a finish on 1 April 2102. Having 76 years outstanding we approximated the premium to the freeholder for the lease extension to be within £8,600 and £9,800 plus expenses.