Elland leases on domestic deteriorating in value. if your lease has about ninety years remaining, you should start considering the need for a lease extension. If lease term dips under 80 years, you will then have to pay half of the property's 'marriage value' on top of the standard cost of the lease extension to the landlord. Marriage value is the amount of additional value that a lease extension will add to the property. Flat owners in Elland will usually be legally entitled to a lease extension; however It would be wise to check with a conveyancing solicitor to confirm if you qualify. In some circumstances you may not qualify. There are also strict deadlines and procedures to comply with once the process has commenced so it’s prudent to be guided by a lawyer during the process.
Leasehold premises in Elland with over one hundred years unexpired 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 property. In such situations there is often little upside in buying the freehold unless savings on ground rent and maintenance charges warrant it.
| 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. |
| Barnsley Building Society | 60 years from the date of the mortgage application subject to 35 years remaining at the end of the mortgage term. |
| 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. |
| 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. |
Lease extensions in Elland can be a difficult process. We recommend you get professional help 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 a wealth of experience procuring Elland lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Muhammad owned a conversion apartment in Elland on the market with a lease of a little over 72 years outstanding. Muhammad informally spoke with his landlord being a well known local-based freehold company for a lease extension. The landlord was prepared to grant an extension on non-statutory terms taking the lease to 125 years subject to a rise in the rent to £100 annually. No ground rent would be due on a lease extension were Muhammad to exercise his statutory right. Muhammad procured expert advice and secured satisfactory deal informally and readily saleable.
In 2011 we were e-mailed by Dr Lucy Carter who, having was assigned a lease of a purpose-built flat in Elland in September 2009. The question was if we could shed any light on how much (roughly) price would be to prolong the lease by 90 years. Comparative flats in Elland with an extended lease were valued about £171,800. The mid-range amount of ground rent was £55 invoiced quarterly. The lease terminated on 14 May 2075. Considering the 50 years outstanding we estimated the compensation to the freeholder for the lease extension to be between £33,300 and £38,400 exclusive of professional charges.
Last year we were e-mailed by Mr and Mrs. B Morel , who acquired a ground floor apartment in Elland in June 1999. We are asked if we could approximate the premium would be to prolong the lease by an additional years. Comparable premises in Elland with 100 year plus lease were worth £280,000. The average amount of ground rent was £45 invoiced monthly. The lease expired in 2095. Taking into account 70 years unexpired we calculated the compensation to the freeholder to extend the lease to be between £12,400 and £14,200 plus fees.