Top reasons for Great Shelford lease extension
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Why you should start your Great Shelford lease extension today: </h3>
<h4> A <a href="http://www.lendermonitor.com/conveyancing/loc/great-shelford">Great Shelford</a> leasehold property depreciates with the years remaining on the lease.
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<p> It’s a harsh truth that a Great Shelford residential lease is a deteriorating asset. The lease value drops in proportion to its lease length. The extent of this is taken for granted in the early years due to the loss of value being disguised by increases in the Great Shelford property market.Where your lease has approximately ninety years left, you should start considering a lease extension. An important point to note is that it is desirable for lease extension to take place before the term of the existing lease dips lower than eighty years - otherwise a higher amount will be payable. The majority of flat owners in Great Shelford will be able to extend under the legislation; however a lawyer will be able to clarify whether you qualify for an extension. In some situations you may not qualify. There are also strict timeframes and procedures to follow once the process has commenced and you will need to be guided by your conveyancing solicitor throughout the formalities.
<h4>Great Shelford property with a lease extension is almost the same value as a freehold</h4>
<p> It is generally considered that a residential leasehold with over one hundred years unexpired lease term is worth approximately the equivalent as a freehold. Where an additional ninety years added to all but the shortest lease, the premises will be worth the same as a freehold for many years ahead.
<h4>Lenders may decide not to lend with a short lease</h4> Banks and Building Societies are less likely to grant a loan offer on a residential flat in Great Shelford with a short lease. Some lenders simply refuse a mortgage on leases with under 75 years remaining.
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<th> Requirement
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<td>Accord Mortgages</td>
<td> 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.
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<td>Barnsley Building Society</td>
<td> 60 years from the date of the mortgage application subject to 35 years remaining at the end of the mortgage term.
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<td>Godiva Mortgages</td>
<td> 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.
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<td>National Westminster Bank</td>
<td> Mortgage term plus 30 years.<br /><br />For Shared Ownership, the remaining term of the lease must also be not less than 75 years at the outset of the mortgage.
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<td>Skipton Building Society</td>
<td> 85 years from the date of completion of the mortgage<br /><br />For Buy to Let cases:<br />- lettings must not breach any of the lessee’s covenants; and<br />- consent of the lessor to lettings must be obtained if necessary
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What makes us experts in Great Shelford lease extensions?
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The conveyancers that we work with handle Great Shelford 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 conveyancing solicitor we work with provide it.
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Great Shelford Lease Extension Example Cases:
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<h5> Yasmin, Great Shelford, Cambridgeshire,</h5>
<p> Following unsuccessful negotiations with the landlord of her leasehold apartment in Great Shelford, Yasmin started the lease extension process as the eighty year mark was fast advancing. The transaction was finalised in March 2008. The landlord’s fees were negotiated to a tad over 550 pounds.
<h5>Great Shelford case:</h5>
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Last year we were e-mailed by Ms F Harris , who
completed a one bedroom flat in Great Shelford in February 2009. We are asked if we could estimate the price would likely be for a 90 year extension to my lease. Similar homes in Great Shelford with 100 year plus lease were in the region of £225,400. The mid-range ground rent payable was £45 collected annually. The lease finished on 19 March 2090. Taking into account 64 years as a residual term we estimated the premium to the landlord to extend the lease to be between £16,200 and £18,600 not including professional charges.
<h5>Great Shelford case:</h5>
<p> Dr B Morel acquired a basement apartment in Great Shelford in May 2005. We are asked if we could approximate the compensation to the landlord could be to prolong the lease by a further 90 years. Comparative homes in Great Shelford with a long lease were in the region of £270,000. The mid-range ground rent payable was £55 collected per annum. The lease ran out on 23 June 2101. Taking into account 75 years left we approximated the premium to the freeholder to extend the lease to be between £9,500 and £11,000 plus expenses.
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