Drybrook residential property held on a long lease is a wasting asset as the leaseholder only owns the property for a period of years.
It is generally considered that a residential leasehold with in excess of 100 years unexpired lease term is worth roughly the equivalent as a freehold. Where an additional 90 years added to any lease with more than 35 years left, the property will be equivalent in value to a freehold for many years ahead.
| Lender | Requirement |
|---|---|
| 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. |
| 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. |
| National Westminster Bank | Mortgage term plus 30 years. |
| TSB | Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption. |
Lease extensions in Drybrook can be a difficult process. We recommend you get guidance from a conveyancing solicitor and surveyor well versed in the legislation and lease extension process.
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 Drybrook lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Half a year ago Isaac, started to get close to the 80-year mark with the lease on his leasehold apartment in Drybrook. In buying his home 18 years previously, the lease term was of minimal importance. As luck would have it, he became aware that he needed to take action soon on Extending the lease. Isaac extended the lease just under the wire last April. Isaac and the landlord subsequently agreed on an amount of £6,000 . If the lease had dropped below 80 years, the sum would have escalated by at least £1,125.
Mr and Mrs. V Díaz bought a purpose-built flat in Drybrook in September 2006. The dilemma was if we could approximate the compensation to the landlord could be for a ninety year lease extension. Similar homes in Drybrook with 100 year plus lease were valued about £295,000. The mid-range ground rent payable was £45 invoiced every twelve months. The lease expired in 2099. Given that there were 74 years unexpired we calculated the compensation to the landlord to extend the lease to be between £8,600 and £9,800 exclusive of professional charges.
In 2012 we were approached by Mr and Mrs. O Nguyen who, having was assigned a lease of a studio apartment in Drybrook in June 2009. The dilemma was if we could shed any light on how much (roughly) premium would likely be to prolong the lease by a further 90 years. Identical premises in Drybrook with 100 year plus lease were worth £248,000. The average amount of ground rent was £65 invoiced monthly. The lease ended on 18 January 2088. Given that there were 63 years left we estimated the premium to the landlord to extend the lease to be between £20,000 and £23,000 exclusive of costs.