Beckermet Lease Extension - Free Consultation

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Why you should commence your Beckermet lease extension


Top reasons for lease extension now:

A Beckermet lease depreciates with the years remaining on the lease.

As the the remaining lease term of a Beckermet residential lease lessens so does its value and therefore the value of your property. If the lease has, beyond 125 years remaining then this decrease may be of little impact that being said there will become a point in time when a lease has fewer than eighty years remaining as part of the premium you will incur is what is known as a marriage value. This could be significant. It is the main logic behind why you should consider extending sooner than later. Many flat owners in Beckermet will qualify for this right; however a lawyer should be able to advise whether you qualify to extend your lease. In limited situations you may not qualify, the most common reason being that you have not been the owner of the property for two years.

An extended lease is almost the same value as a freehold

Leasehold premises in Beckermet with more than 100 years remaining 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 to be gained by purchasing the reversionary interest unless savings on ground rent and maintenance charges warrant it.

Banks and Building Societies may not finance a property with a short lease

The definition of a short lease depends on the specific mortgage company, yet mortgage lenders start to become jittery at around 75 years. This may cause difficulties as and when you come to market or refinance your property as it will be practically unmortgageable. Even though you may have no immediate desire to sell but when you do your purchaser will need to hold off for a couple of years before they can exercise the right to a an extension to the lease.

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.
Halifax Minimum 70 years from the date of the mortgage.
Leeds Building Society 85 years remaining from the start 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.

Get in touch with one of our Beckermet lease extension solicitors or enfranchisement solicitors

Using our service will provide you increased control over the value of your Beckermet leasehold, as your property will be more valuable and marketable in relation to the lease length should you decide to sell. The conveyancing solicitors that we work with have a wealth of experience of handling many hundreds of lease extensions or freehold purchase transactions.

Beckermet Lease Extension Case Studies:

Natasha, Beckermet, Cumbria,

Following lengthy correspondence with the landlord of her two bedroom apartment in Beckermet, Natasha started the lease extension process just as her lease was coming close to the critical eighty-year mark. The legal work was finalised in January 2013. The freeholder’s charges were kept to an absolute minimum.

Beckermet case:

Ms Erin Allen acquired a purpose-built apartment in Beckermet in January 2002. The question was if we could approximate the price would be to extend the lease by a further 90 years. Comparative residencies in Beckermet with an extended lease were valued around £257,800. The average amount of ground rent was £65 collected annually. The lease came to a finish in 2090. Taking into account 65 years as a residual term we estimated the compensation to the landlord to extend the lease to be within £17,100 and £19,800 exclusive of legals.

Beckermet case:

Dr Tommy Robinson took over the lease of a one bedroom flat in Beckermet in July 2007. We are asked if we could shed any light on how much (approximately) compensation to the landlord would be to prolong the lease by 90 years. Comparative properties in Beckermet with an extended lease were in the region of £198,800. The average amount of ground rent was £55 invoiced quarterly. The lease finished on 18 July 2080. Considering the 55 years unexpired we approximated the premium to the landlord for the lease extension to be within £33,300 and £38,400 plus expenses.