As the the remaining lease term of a Goole residential lease lessens so does its value and therefore the value of your property. If the residual term has, beyond 100 years remaining then this decrease may be fractional nevertheless there will become a stage when a lease has less than eighty years unexpired as part of the premium you will incur is what is termed as a marriage value. This could be significant. It is the main logic behind why you should extend the lease without delay. Many flat owners in Goole will qualify for this right; nevertheless a conveyancer can confirm if you qualify to extend your lease. In limited situations you may not qualify, the most common reason being that you have owned the property for less than two years.
Leasehold residencies in Goole with in excess of one hundred years unexpired on the lease are often regarded as a ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your property. In such circumstances there is often little to be gained by buying the freehold unless savings on ground rent and maintenance charges justify it.
| Lender | Requirement |
|---|---|
| Barnsley Building Society | 60 years from the date of the mortgage application subject to 35 years remaining at the end of the mortgage term. |
| 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. |
| National Westminster Bank | Mortgage term plus 30 years. For Shared Ownership, the remaining term of the lease must also be not less than 75 years at the outset of the mortgage. |
| 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 |
| TSB | Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption. |
The conveyancing solicitors that we work with undertake Goole lease extensions and help protect your position. A lease extension can be arranged to be completed to coincide with a change of ownership so the costs of the lease extension are paid for using part of the sale proceeds. You really do need expert legal advice in this difficult and technical area of law. The conveyancer we work with provide it.
Ben was the the leasehold owner of a high value apartment in Goole being sold with a lease of a little over sixty years left. Ben on an informal basis contacted his landlord a well known local-based freehold company and enquired on a premium to extend the lease. The freeholder indicated a willingness to grant an extension taking the lease to 125 years on the basis of a new rent at the outset set at £150 per annum and increase every twenty five years thereafter. Ordinarily, ground rent would not be due on a lease extension were Ben to exercise his statutory right. Ben procured expert legal guidance and was able to make a more informed decision and deal with the matter and sell the property.
Last Autumn we were approach by Dr U Wright , who was assigned a lease of a one bedroom apartment in Goole in November 1996. We are asked if we could estimate the compensation to the landlord could be for a 90 year lease extension. Similar homes in Goole with a long lease were worth £255,000. The mid-range amount of ground rent was £50 collected yearly. The lease came to a finish on 5 May 2095. Having 70 years left we calculated the compensation to the freeholder for the lease extension to be within £10,500 and £12,000 plus professional charges.
Last year we were phoned by Mr and Mrs. L Smith , who acquired a studio flat in Goole in October 1996. We are asked if we could shed any light on how much (approximately) compensation to the landlord would be for a 90 year extension to my lease. Identical homes in Goole with a long lease were valued about £246,800. The average amount of ground rent was £60 billed quarterly. The lease concluded on 17 February 2075. Taking into account 50 years as a residual term we approximated the compensation to the landlord to extend the lease to be within £44,700 and £51,600 plus expenses.