Kirkby Lonsdale residential property held on a long lease is a wasting asset because a leaseholder merely owns the property for a period of years.
Leasehold residencies in Kirkby Lonsdale with more than 100 years left on the lease are often regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your property. In such situations there is often little to be gained by purchasing the freehold unless savings on ground rent and maintenance charges merit 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. |
| National Westminster Bank | Mortgage term plus 30 years. |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
Lease extensions in Kirkby Lonsdale can be a difficult process. We recommend you obtain professional help from a conveyancer and surveyor with experience in lease extensions.
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 procuring Kirkby Lonsdale lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Hugo was the the leasehold owner of a conversion flat in Kirkby Lonsdale on the market with a lease of a little over 59 years unexpired. Hugo on an informal basis contacted his freeholder being a well known London-based freehold company for a lease extension. The freeholder was prepared to agree an extension on non-statutory terms taking the lease to 125 years on the basis of an increased rent to £100 annually. Ordinarily, ground rent would not be payable on a lease extension were Hugo to invoke his statutory right. Hugo procured expert advice and was able to make a more informed decision and deal with the matter and sell the property.
Last Summer we were contacted by Mr and Mrs. W Brooks , who owned a basement flat in Kirkby Lonsdale in August 2010. The dilemma was if we could approximate the compensation to the landlord would be for a ninety year extension to my lease. Similar residencies in Kirkby Lonsdale with 100 year plus lease were valued about £225,400. The average ground rent payable was £45 billed quarterly. The lease termination date was in 2089. Considering the 64 years left we estimated the compensation to the freeholder for the lease extension to be between £16,200 and £18,600 plus expenses.
Last Spring we were phoned by Mrs Sophie Jackson , who owned a first floor apartment in Kirkby Lonsdale in August 2003. The dilemma was if we could shed any light on how much (roughly) price would likely be to prolong the lease by 90 years. Identical premises in Kirkby Lonsdale with a long lease were in the region of £270,000. The average amount of ground rent was £55 billed yearly. The lease end date was in 2100. Taking into account 75 years outstanding we approximated the compensation to the landlord for the lease extension to be within £9,500 and £11,000 not including professional charges.