Exminster leases on domestic deteriorating in value. Where your lease has about ninety years unexpired, you should start considering the need for a lease extension. If lease term is under 80 years, you will then have to pay half of the property's 'marriage value' in addition to the usual 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 Exminster will mostly qualify for a lease extension; however It would be wise to check with a conveyancer to check your eligibility. In some cases you may not qualify. There are also strict deadlines and formalities to comply with once the process is triggered so it’s best to be guided by a lawyer during the process.
It is generally considered that a property with more than one hundred years unexpired lease term is worth approximately the equivalent as a freehold. Where an further 90 years added to all but the shortest lease, the residence will be equivalent in value to a freehold for many years ahead.
| Lender | Requirement |
|---|---|
| Bank of Scotland | Minimum 70 years from the date of the mortgage. |
| 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. |
| 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. |
| Santander | If the property is leasehold, the remaining unexpired lease term at the end of the new mortgage term must be at least 50 years where any part of the mortgage is on Interest Only and 30 years if all loan parts are on Capital Repayment and Interest. You must report the unexpired lease term to us and await our instructions if:
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Lease extensions in Exminster can be a difficult process. We recommend you secure professional help from a lawyer and valuer 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 dealing with Exminster lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
After unsuccessful discussions with the landlord of her basement apartment in Exminster, Laura initiated the lease extension process as the eighty year threshold was quickly coming. The legal work was finalised in March 2009. The freeholder’s costs were kept to an absolute minimum.
Ms Y Garcia moved into a newly refurbished apartment in Exminster in July 2008. We are asked if we could shed any light on how much (roughly) premium would be for a ninety year extension to my lease. Identical flats in Exminster with 100 year plus lease were valued about £270,000. The mid-range amount of ground rent was £55 collected per annum. The lease expired on 18 October 2101. Having 75 years outstanding we estimated the premium to the landlord for the lease extension to be between £9,500 and £11,000 exclusive of professional charges.
Ms Stephanie Ali completed a one bedroom apartment in Exminster in April 2010. We are asked if we could approximate the price would be for a 90 year lease extension. Similar residencies in Exminster with a long lease were valued around £168,800. The mid-range ground rent payable was £60 collected annually. The lease terminated in 2081. Having 55 years remaining we approximated the premium to the freeholder to extend the lease to be within £31,400 and £36,200 exclusive of professional charges.