The rule of thumb is, all other factors being equal, the shorter the lease the more expensive the premium. Qualifying leaseholders in Barrow In Furness have the right to extend the lease for a further 90 years in accordance with the 1993 Leasehold Reform Act. Please think carefully before delaying your Barrow In Furness lease extension. Shelving that expense now simply escalates the amount you will eventually be required to pay for a lease extension.
Leasehold residencies in Barrow In Furness with in excess of one hundred years left on the lease are sometimes referred to as ‘virtual freehold’. This is where the lease value the same as a freehold interest in your home. In such circumstances there is often little upside in buying the freehold unless savings on ground rent and maintenance charges warrant it.
| Lender | Requirement |
|---|---|
| Bank of Scotland | Minimum 70 years from the date of the mortgage. |
| Barnsley Building Society | 60 years from the date of the mortgage application subject to 35 years remaining at the end of the mortgage term. |
| 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. |
| Santander | You must report the unexpired lease term to us and await our instructions if: 1. the unexpired term assumed by our valuer is between 55 and 82 years, but the actual unexpired term differs by more than one year (whether longer or shorter); or 2. the unexpired term assumed by our valuer is more than 82 years but the actual unexpired term is less than 82 years; or 3. no valuation report is provided However, we will not accept a lease where on expiry of the mortgage: (i) less than 50 years remain and all or part of the loan is repaid on an interest-only basis: or (ii) less than 30 years remain and the loan is repaid on a capital and interest basis We will accept a lease that has been extended under the provisions of the Leasehold Reform Act 1993 provided statutory compensation would be available to the leaseholder. |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
Lease extensions in Barrow In Furness can be a difficult process. We recommend you obtain professional help from a conveyancing solicitor and valuer with experience in lease extensions.
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 in-depth market knowledge procuring Barrow In Furness lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Ollie owned a high value flat in Barrow In Furness being marketed with a lease of a little over 72 years unexpired. Ollie informally spoke with his freeholder a well known London-based freehold company for a lease extension. The freeholder indicated a willingness to grant an extension taking the lease to 125 years subject to an increased rent to £100 per annum. Ordinarily, ground rent would not be due on a lease extension were Ollie to exercise his statutory right. Ollie obtained expert legal guidance and secured an acceptable deal without resorting to tribunal and ending up with a market value flat.
Last Winter we were phoned by Mr and Mrs. C Torres , who completed a studio flat in Barrow In Furness in May 2011. We are asked if we could shed any light on how much (roughly) compensation to the landlord could be to extend the lease by a further 90 years. Identical homes in Barrow In Furness with a long lease were valued about £275,000. The mid-range ground rent payable was £55 collected yearly. The lease finished in 2103. Given that there were 77 years unexpired we approximated the compensation to the freeholder to extend the lease to be within £13,300 and £15,400 exclusive of legals.
In 2010 we were called by Dr Cameron Brown who, having completed a basement flat in Barrow In Furness in May 1997. We are asked if we could shed any light on how much (roughly) compensation to the landlord could be to extend the lease by ninety years. Comparable residencies in Barrow In Furness with a long lease were valued around £183,600. The mid-range amount of ground rent was £65 billed annually. The lease ended on 5 October 2083. Having 57 years outstanding we estimated the compensation to the landlord to extend the lease to be between £28,500 and £33,000 exclusive of legals.