With a long leasehold premises in Appleton, you effectively rent it for a certain amount of time. Modern flat leases are usually granted for 99 years or 125. Many leasehold owners become complacent as this seems like a long period of time, you may consider extending the lease sooner rather than later. The general rule is that the shorter the number of years is the cost of extending the lease becomes disproportionately greater especially once there are less than 80 years left. Anyone in Appleton with a lease nearing 81 years remaining should seriously think of extending it as soon as possible. Once a lease has fewer than 80 years left, under the current legislation the freeholder is entitled to calculate and demand a greater amount, based on a technical calculation, strangely termed as “marriage value” which is payable.
Leasehold residencies in Appleton with over one hundred years outstanding on the lease are sometimes referred to as ‘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 to be gained by purchasing the freehold unless savings on ground rent and maintenance 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. |
| 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. |
| 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. |
| Lloyds TSB Scotland | Minimum 70 years from the date of the mortgage. |
The lawyers that we work with procure Appleton 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.
Trailing lengthy discussions with the freeholder of her two bedroom apartment in Appleton, Jessica commenced the lease extension process as the eighty year deadline was fast nearing. The legal work was concluded in August 2012. The landlord’s fees were kept to an absolute minimum.
Last Spring we were called by Mr and Mrs. H Cooper , who acquired a studio apartment in Appleton in April 2005. The question was if we could approximate the price could be to extend the lease by an additional years. Comparable premises in Appleton with a long lease were valued about £210,000. The mid-range ground rent payable was £50 invoiced yearly. The lease ran out on 14 August 2105. Having 80 years outstanding we estimated the compensation to the freeholder for the lease extension to be between £8,600 and £9,800 plus expenses.
Dr R Martínez acquired a ground floor flat in Appleton in January 2005. We are asked if we could approximate the price could be for a 90 year extension to my lease. Identical properties in Appleton with a long lease were worth £275,000. The average amount of ground rent was £45 billed every twelve months. The lease lapsed in 2094. Taking into account 69 years outstanding we estimated the premium to the freeholder to extend the lease to be between £12,400 and £14,200 not including legals.