When it comes to domestic leasehold premises in Holmfirth, you are in fact renting it for a certain period of time. These days flat leases typically tend to be for 99 years or 125. Many leasehold owners become complacent as this seems like a long period of time, you may think about extending the lease sooner as opposed to later. The general rule is that the shorter the number of years is the cost of extending the lease gets disproportionately more expensive particularly once there are less than 80 years remaining. Anyone in Holmfirth with a lease nearing 81 years remaining should seriously think of extending it as soon as possible. Once a lease has fewer than 80 years remaining, under the relevant Act the landlord can calculate and levy a greater premium, based on a technical computation, strangely termed as “marriage value” which is payable.
Leasehold properties in Holmfirth with in excess of 100 years remaining on the lease are often regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your home. In such situations there is often little to be gained by purchasing the freehold unless savings on ground rent and estate charges justify it.
| 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. |
| Bank of Scotland | 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. |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
Irrespective of whether you are a tenant or a landlord in Holmfirth,the lease extension experts that we work with will always be happy to discuss any residential leasehold matters and offer you the benefit of their in-depth market knowledge and the close ties they enjoy with Holmfirth valuers.
In the wake of 9 months of protracted discussions with the freeholder of her purpose-built apartment in Holmfirth, Catherine initiated the lease extension process as the 80 year mark was fast advancing. The transaction was finalised in April 2010. The landlord’s costs were negotiated to less than 500 pounds.
Last Spring we were phoned by Mr I Rose , who took over the lease of a garden apartment in Holmfirth in September 2000. The dilemma was if we could approximate the premium would be to prolong the lease by ninety years. Comparable flats in Holmfirth with a long lease were valued about £235,200. The mid-range ground rent payable was £45 invoiced per annum. The lease concluded on 2 August 2092. Given that there were 66 years left we approximated the premium to the freeholder for the lease extension to be within £12,400 and £14,200 not including professional charges.
In 2010 we were phoned by Mr E Nelson who, having purchased a ground floor apartment in Holmfirth in April 2010. We are asked if we could estimate the premium could be to extend the lease by a further 90 years. Comparable properties in Holmfirth with an extended lease were in the region of £275,000. The mid-range ground rent payable was £55 invoiced per annum. The lease terminated on 8 October 2103. Taking into account 77 years remaining we estimated the compensation to the freeholder for the lease extension to be within £13,300 and £15,400 exclusive of expenses.