Cockermouth leases on residential properties are gradually losing value. The shorter the remaining lease term becomes, the less it is worth – and as a result any extension of your lease becomes more expensive. Most owners of residential leasehold property in Cockermouth enjoy rights under legislation to extend the terms of their leases. If you are a leasehold owner in Cockermouth you would be well advised to see if your lease has between 70 and 90 years left. There are good reasons why a Cockermouth leaseholder with a lease having around eighty years remaining should take steps to ensure that a lease extension is effected without delay
It is conventional wisdom that a residential leasehold with in excess of one hundred years remaining is worth approximately the same as a freehold. Where an further ninety years added to all but the shortest lease, the premises will be equivalent in value to a freehold for many years ahead.
| 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. |
| 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. |
| 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 |
Lease extensions in Cockermouth can be a difficult process. We recommend you get guidance from a conveyancing solicitor and surveyor 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 in-depth market knowledge procuring Cockermouth lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Seth was the the leasehold proprietor of a studio flat in Cockermouth being marketed with a lease of just over sixty years outstanding. Seth informally contacted his landlord being a well known Bristol-based freehold company for a lease extension. The landlord was prepared to give an extension on non-statutory terms taking the lease to 125 years on the basis of a new rent initially set at £200 per annum and doubled every twenty five years thereafter. No ground rent would be due on a lease extension were Seth to invoke his statutory right. Seth obtained expert legal guidance and was able to make a more informed judgement and deal with the matter and readily saleable.
In 2011 we were phoned by Dr Blake Ali who, having moved into a garden flat in Cockermouth in April 2005. We are asked if we could shed any light on how much (roughly) premium would likely be to extend the lease by an additional years. Similar residencies in Cockermouth with 100 year plus lease were worth £243,000. The mid-range ground rent payable was £65 invoiced yearly. The lease finished on 1 September 2089. Taking into account 63 years as a residual term we approximated the premium to the freeholder for the lease extension to be within £20,000 and £23,000 not including costs.
In 2011 we were approached by Dr Edward Wood who, having moved into a basement apartment in Cockermouth in March 2006. We are asked if we could approximate the premium could be to prolong the lease by 90 years. Comparable premises in Cockermouth with a long lease were valued about £181,600. The mid-range ground rent payable was £55 invoiced yearly. The lease ended on 3 August 2078. Given that there were 52 years outstanding we estimated the compensation to the freeholder to extend the lease to be between £30,400 and £35,200 exclusive of expenses.