Chances are that where you own a flat in Bootle you actually own a long leasehold interest over your property
Leasehold premises in Bootle with in excess of one hundred years outstanding 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 buying the reversionary interest unless savings on ground rent and estate charges warrant it.
| Lender | Requirement |
|---|---|
| Bank of Scotland | Minimum 70 years from the date 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. |
| 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 |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
| Yorkshire 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. |
The conveyancing solicitors that we work with undertake Bootle 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 protracted discussions with the landlord of her one bedroom apartment in Bootle, Olivia initiated the lease extension process as the 80 year mark was quickly nearing. The legal work was finalised in September 2010. The landlord’s fees were kept to an absolute minimum.
Mr Callum Wright completed a recently refurbished flat in Bootle in January 2012. We are asked if we could shed any light on how much (roughly) compensation to the landlord would likely be for a ninety year lease extension. Identical flats in Bootle with a long lease were worth £225,400. The average ground rent payable was £45 billed yearly. The lease finished on 12 January 2089. Taking into account 64 years remaining we calculated the compensation to the freeholder to extend the lease to be within £16,200 and £18,600 not including expenses.
Mr and Mrs. H Michel purchased a recently refurbished flat in Bootle in August 2012. The dilemma was if we could estimate the price would be for a 90 year lease extension. Comparable flats in Bootle with an extended lease were in the region of £270,000. The average ground rent payable was £55 invoiced yearly. The lease came to a finish on 7 March 2100. Given that there were 75 years remaining we calculated the compensation to the freeholder to extend the lease to be within £9,500 and £11,000 exclusive of costs.