On the balance of probabilities if you own a flat in Dymock you actually own a long leasehold interest over your property
It is conventional wisdom that a property with in excess of one hundred years unexpired lease term is worth roughly the same as a freehold. Where an further 90 years added to any lease with more than 30 years remaining, the residence will be equivalent in value to a freehold for many years in the future.
| Lender | Requirement |
|---|---|
| Accord Mortgages | 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. |
| Chelsea 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. |
| Leeds Building Society | 85 years remaining from the start 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 |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
Lease extensions in Dymock can be a difficult process. We recommend you get professional help 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 in-depth market knowledge dealing with Dymock lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Lewis was the the leasehold proprietor of a studio apartment in Dymock on the market with a lease of fraction over 61 years left. Lewis informally approached his landlord a well known Manchester-based freehold company for a lease extension. The landlord was keen to give an extension on non-statutory terms taking the lease to 125 years on the basis of an increased rent to £200 yearly. No ground rent would be due on a lease extension were Lewis to exercise his statutory right. Lewis obtained expert legal guidance and secured an acceptable deal without resorting to tribunal and readily saleable.
Last October we were e-mailed by Mr and Mrs. F Simon , who took over the lease of a newly refurbished flat in Dymock in February 1995. We are asked if we could estimate the price would be to prolong the lease by a further 90 years. Identical residencies in Dymock with 100 year plus lease were worth £275,000. The average ground rent payable was £55 collected annually. The lease came to a finish on 15 January 2101. Taking into account 76 years unexpired we calculated the premium to the landlord for the lease extension to be within £9,500 and £11,000 plus expenses.
In 2009 we were e-mailed by Mr and Mrs. F Gray who, having took over the lease of a newly refurbished apartment in Dymock in September 2004. The dilemma was if we could shed any light on how much (approximately) compensation to the landlord could be for a ninety year lease extension. Comparable residencies in Dymock with a long lease were worth £176,200. The mid-range ground rent payable was £65 invoiced every twelve months. The lease ran out in 2081. Given that there were 56 years as a residual term we approximated the compensation to the landlord for the lease extension to be between £29,500 and £34,000 not including expenses.