On the balance of probabilities where you own a flat in Fleet you actually own a long leasehold interest over your property
It is generally considered that a residential leasehold with over 100 years remaining is worth roughly the same as a freehold. Where an further 90 years added to all but the shortest lease, the property will be worth the same as a freehold for many years in the future.
| 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. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
| National Westminster Bank | Mortgage term plus 30 years. |
| 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 |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
Lease extensions in Fleet can be a difficult process. We recommend you secure professional help from a conveyancing solicitor 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 in-depth market knowledge dealing with Fleet lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Following unsuccessful correspondence with the freeholder of her purpose-built flat in Fleet, Jordan started the lease extension process just as her lease was nearing the critical eighty-year threshold. The transaction completed in July 2008. The freeholder’s costs were restricted to less than 500 pounds.
In 2012 we were e-mailed by Mrs Poppy Turner who, having purchased a newly refurbished flat in Fleet in November 1997. The dilemma was if we could shed any light on how much (approximately) price would likely be to extend the lease by ninety years. Similar residencies in Fleet with a long lease were in the region of £275,000. The average amount of ground rent was £65 billed per annum. The lease terminated on 26 October 2093. Considering the 68 years outstanding we calculated the compensation to the freeholder to extend the lease to be between £12,400 and £14,200 not including legals.
Last Christmas we were contacted by Mr and Mrs. B Morgan , who acquired a one bedroom flat in Fleet in August 1996. The dilemma was if we could approximate the compensation to the landlord would likely be for a ninety year lease extension. Comparable residencies in Fleet with an extended lease were in the region of £208,600. The mid-range amount of ground rent was £60 collected quarterly. The lease expiry date was on 23 May 2082. Having 57 years left we calculated the premium to the freeholder for the lease extension to be between £30,400 and £35,200 exclusive of expenses.