Bolsover leases on residential properties are gradually losing value. if your lease has about 90 years left, you should start thinking about a lease extension. An important point to note is that it is desirable for the lease extension to be in place before the term of the existing lease drops below 80 years - otherwise a higher amount will be payable. Flat owners in Bolsover will usually be legally entitled to a lease extension; however it’s a good idea to check with a conveyancer to check if you qualify. In certain circumstances you may not be entitled. There are also strict timetables and formalities to follow once the process has commenced so it’s best to be guided by a lawyer during the process.
Leasehold residencies in Bolsover with in excess of one hundred years outstanding on the lease are often referred to as ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your home. In such circumstances there is often little to be gained by buying the reversionary interest unless savings on ground rent and maintenance charges justify 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. |
| 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. |
| 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. |
| TSB | Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption. |
Lease extensions in Bolsover can be a difficult process. We recommend you procure guidance from a conveyancing solicitor and valuer with experience in this area.
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 a wealth of experience dealing with Bolsover lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Last year Jonathan, started to get close to the eighty-year mark with the lease on his one bedroom apartment in Bolsover. Having purchased his property two decades ago, the lease term was of minimal significance. Fortunately, he noticed he needed to take steps soon on Extending the lease. Jonathan extended the lease at the eleventh hour in April. Jonathan and the landlord who owned the flat above in the end agreed on sum of £5,000 . If he not met the deadline, the sum would have become more costly by a minimum £1,100.
Last October we were contacted by Mr Joseph Thomas , who completed a garden apartment in Bolsover in March 2006. We are asked if we could shed any light on how much (approximately) compensation to the landlord could be to extend the lease by ninety years. Comparable flats in Bolsover with 100 year plus lease were worth £166,800. The average amount of ground rent was £50 invoiced per annum. The lease came to a finish in 2076. Considering the 50 years unexpired we estimated the compensation to the landlord to extend the lease to be within £32,300 and £37,400 not including costs.
Mr and Mrs. P Sánchez completed a studio flat in Bolsover in February 2002. The question was if we could shed any light on how much (approximately) price could be for a 90 year lease extension. Identical residencies in Bolsover with a long lease were in the region of £280,000. The average ground rent payable was £45 invoiced quarterly. The lease finished in 2096. Taking into account 70 years left we calculated the premium to the landlord to extend the lease to be between £12,400 and £14,200 plus legals.