Chances are that where you own a flat in Alfreton you actually own a long leasehold interest over your property
Leasehold residencies in Alfreton with more than 100 years unexpired 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 home. In such situations there is often little upside in purchasing the freehold unless savings on ground rent and estate charges merit 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. |
| Lloyds TSB Scotland | Minimum 70 years from the date 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 |
The conveyancers that we work with undertake Alfreton 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 conveyancing solicitor we work with provide it.
In the wake of 6 months of lengthy negotiations with the freeholder of her two bedroom flat in Alfreton, Catherine commenced the lease extension process just as her lease was approaching the critical 80-year threshold. The legal work was concluded in March 2005. The landlord’s charges were negotiated to less than 700 pounds.
Ms Catherine Stewart took over the lease of a studio apartment in Alfreton in August 1997. The dilemma was if we could estimate the compensation to the landlord would likely be to prolong the lease by ninety years. Comparable flats in Alfreton with a long lease were valued about £203,200. The average ground rent payable was £65 billed monthly. The lease expired in 2086. Considering the 61 years unexpired we approximated the premium to the freeholder for the lease extension to be between £20,000 and £23,000 not including professional charges.
Dr S Petit moved into a studio apartment in Alfreton in November 2012. The dilemma was if we could shed any light on how much (roughly) premium would likely be for a 90 year extension to my lease. Comparative flats in Alfreton with a long lease were valued around £260,000. The average amount of ground rent was £50 billed every twelve months. The lease elapsed on 22 April 2096. Taking into account 71 years outstanding we calculated the premium to the landlord to extend the lease to be between £9,500 and £11,000 plus professional charges.