Exminster residential property held on a long lease is a wasting asset as the leaseholder merely owns the property for a set term.
Leasehold properties in Exminster with in excess of one hundred years remaining on the lease are often referred to as ‘virtual freehold’. This is where the lease value the same as a freehold interest in your property. In such situations there is often little upside in purchasing the freehold unless savings on ground rent and maintenance charges merit it.
| 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. |
| Halifax | Minimum 70 years from the date of the mortgage. |
| TSB | Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption. |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
Regardless of whether you are a tenant or a landlord in Exminster,the lease extension lawyers that we work with will always be happy to discuss any residential leasehold matters and offer you the benefit of their experience and the close ties they enjoy with Exminster valuers.
Trailing unsuccessful correspondence with the landlord of her one bedroom apartment in Exminster, Phoebe started the lease extension process as the eighty year threshold was swiftly coming. The transaction completed in June 2012. The freeholder’s charges were kept to an absolute minimum.
In 2014 we were contacted by Ms Alexandra Hernández who, having owned a first floor apartment in Exminster in July 1999. The question was if we could approximate the compensation to the landlord could be to extend the lease by an additional years. Comparative flats in Exminster with 100 year plus lease were worth £183,600. The mid-range amount of ground rent was £65 collected monthly. The lease end date was in 2083. Considering the 57 years remaining we estimated the compensation to the freeholder to extend the lease to be between £28,500 and £33,000 plus legals.
Mr and Mrs. M Rogers completed a one bedroom flat in Exminster in January 1997. The question was if we could approximate the premium could be for a 90 year extension to my lease. Identical flats in Exminster with 100 year plus lease were valued around £245,000. The average ground rent payable was £50 invoiced yearly. The lease termination date was in 2094. Considering the 68 years remaining we estimated the compensation to the landlord to extend the lease to be between £9,500 and £11,000 not including costs.