Leven leases on residential properties are gradually losing value. if your lease has approximately ninety years remaining, you should start thinking about a lease extension. It is important to recognise that it is that it is financially advisable for a lease extension to be in place before the term of the existing lease dips lower than eighty years - otherwise a higher amount will be payable. Flat owners in Leven will usually be legally entitled to a lease extension; however a solicitor should be able check your eligibility. In certain situations you may not qualify. There are also strict deadlines and steps to comply with once the process has commenced so it’s prudent to be guided by a conveyancing solicitor during the process.
Leasehold premises in Leven with in excess of one hundred years outstanding on the lease are sometimes referred to as ‘virtual freehold’. This is where the lease is worth 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 service charges merit 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. |
| Godiva Mortgages | 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. |
| Lloyds TSB Scotland | Minimum 70 years from the date of the mortgage. |
| National Westminster Bank | 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 freeholder in Leven,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 experience and the close ties they enjoy with Leven valuers.
Last October Max, started to get near to the 80-year mark with the lease on his ground floor flat in Leven. Having purchased his property 19 years previously, the lease term was of minimal significance. As luck would have it, he noticed he would soon be paying way over the odds for Extending the lease. Max arranged for a lease extension at the eleventh hour last June. Max and the freeholder via the managing agents in the end settled on sum of £5,500 . If he had missed the deadline, the price would have increased by a minimum £1,125.
In 2013 we were phoned by Mr and Mrs. F Lewis who, having completed a newly refurbished apartment in Leven in April 2011. We are asked if we could shed any light on how much (approximately) premium would be for a 90 year lease extension. Comparative residencies in Leven with a long lease were worth £193,400. The average amount of ground rent was £65 invoiced monthly. The lease concluded on 8 March 2084. Taking into account 59 years left we estimated the premium to the landlord for the lease extension to be between £21,900 and £25,200 not including costs.
In 2013 we were approached by Dr Dexter Evans who, having owned a first floor flat in Leven in September 2004. The dilemma was if we could approximate the premium could be for a 90 year extension to my lease. Similar homes in Leven with an extended lease were valued around £250,000. The average ground rent payable was £50 billed yearly. The lease expired on 14 February 2095. Considering the 70 years left we estimated the compensation to the freeholder to extend the lease to be between £9,500 and £11,000 plus fees.