The closer a residential lease in Fenstanton gets to zero years unexpired, the more it reduces the value of the property. Where the lease has, more than 125 years to run then this decrease may be of little impact nevertheless there will become a stage when a lease has fewer than 80 years remaining as part of the premium you will incur is what is termed as a marriage value. This could increase sharply the cost. It is the primary rational as to why you should consider extending sooner as opposed to later. The majority of flat owners in Fenstanton will meet the qualifying criteria; that being said a conveyancing solicitor should be able to confirm whether you are eligible to extend your lease. In certain situations you may not qualify, the most common reason being that you have owned the property for under two years.
It is generally considered that a residential leasehold with in excess of 100 years unexpired lease term is worth roughly the same as a freehold. Where an further ninety years added to any lease with more than 30 years remaining, the residence will be equivalent in value to a freehold for decades to come.
| 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. |
| Halifax | Minimum 70 years from the date of the mortgage. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
| Yorkshire 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. |
Regardless of whether you are a tenant or a landlord in Fenstanton,the lease extension lawyers that we work with will always be willing to discuss any residential leasehold matters and offer you the benefit of their in-depth market knowledge and the close ties they enjoy with Fenstanton valuers.
Subsequent to lengthy negotiations with the freeholder of her first floor apartment in Fenstanton, Ella commenced the lease extension process as the eighty year mark was swiftly approaching. The lease extension was finalised in April 2010. The freeholder’s charges were negotiated to slightly above five hundred pounds.
Last Summer we were approach by Mr and Mrs. N Richardson , who bought a basement apartment in Fenstanton in January 2002. The dilemma was if we could shed any light on how much (roughly) premium could be for a ninety year lease extension. Similar residencies in Fenstanton with 100 year plus lease were in the region of £270,000. The mid-range ground rent payable was £55 billed monthly. The lease elapsed in 2101. Given that there were 75 years remaining we approximated the premium to the landlord for the lease extension to be within £9,500 and £11,000 exclusive of legals.
Mr and Mrs. M Fournier owned a first floor flat in Fenstanton in May 2006. We are asked if we could approximate the compensation to the landlord would be to prolong the lease by ninety years. Comparative flats in Fenstanton with a long lease were in the region of £173,800. The mid-range ground rent payable was £60 collected quarterly. The lease lapsed on 22 July 2081. Taking into account 55 years as a residual term we approximated the compensation to the freeholder to extend the lease to be between £31,400 and £36,200 exclusive of expenses.