The basic rule is, all other factors being equal, the shorter the lease the more expensive the premium. Qualifying leaseholders in Flitwick can extend the lease for an additional 90 years in accordance with statute. Do think carefully before delaying your Flitwick lease extension. Putting off the costs today simply escalates the price you will eventually have to pay to extend the lease.
It is generally accepted that a property with more than 100 years unexpired lease term is worth roughly the equivalent as a freehold. Where an further ninety years added to any lease with more than 35 years unexpired, the premises will be equivalent in value to a freehold for decades to come.
| Lender | Requirement |
|---|---|
| Birmingham Midshires | Minimum 70 years from the date of the mortgage. |
| Halifax | Minimum 70 years from the date of the mortgage. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
| 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. |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
Lease extensions in Flitwick 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 dealing with Flitwick lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Subsequent to protracted negotiations with the freeholder of her garden apartment in Flitwick, Aimee initiated the lease extension process just as the lease was coming close to the all-important 80-year mark. The transaction was concluded in September 2013. The freeholder’s costs were restricted to approximately six hundred GBP.
Last Autumn we were phoned by Mr and Mrs. K Richardson , who moved into a purpose-built apartment in Flitwick in March 2007. The question was if we could shed any light on how much (approximately) premium could be to extend the lease by a further 90 years. Similar residencies in Flitwick with a long lease were worth £260,200. The mid-range ground rent payable was £65 collected every twelve months. The lease end date was in 2092. Considering the 66 years outstanding we approximated the premium to the freeholder to extend the lease to be within £15,200 and £17,600 not including costs.
Last February we were e-mailed by Mr Matthew Vincent , who owned a purpose-built flat in Flitwick in May 2006. The dilemma was if we could estimate the price would likely be for a 90 year extension to my lease. Similar residencies in Flitwick with an extended lease were worth £198,800. The average amount of ground rent was £55 collected per annum. The lease ended in 2081. Given that there were 55 years as a residual term we approximated the compensation to the landlord for the lease extension to be within £33,300 and £38,400 exclusive of legals.