Leven Lease Extension - Free Consultation

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Top reasons for Leven lease extension


Top reasons for lease extension now:

A Leven lease depreciates with the years remaining on the lease.

The only way is down when it comes to Leven lease terms. Leven flats that have a residual term shorter than eighty years will reduce in value even faster, and the cost of extending your lease will rise.

Leven property with a lease extension has roughly the same value as a freehold

Leasehold premises in Leven with in excess of one hundred years unexpired 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 property. In such situations there is often little to be gained by purchasing the reversionary interest unless savings on ground rent and maintenance charges justify it.

Mortgage lenders may decide not to lend on a short lease

Whether or not the lease is be regarded as a short lease depends on the specific mortgage company, yet banks and building societies start to get concerned at around 75 years. This may be problematic when you need to sell or remortgage your property as it will be practically unmortgageable. Even though you might have no immediate desire to sell but when you do your buyer must hold off for 2 years before they can exercise the right to a an extension to the lease.

Lender Requirement
Chelsea Building Society 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.
Leeds Building Society 85 years remaining from the start of the mortgage.
Lloyds TSB Scotland Minimum 70 years from the date 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.

What makes us experts in Leven lease extensions?

Irrespective of whether you are a tenant or a landlord in Leven,the lease extension lawyers that we work with will always be prepared to discuss any residential leasehold matters and offer you the benefit of their in-depth market knowledge and the close ties they enjoy with Leven valuers.

Leven Lease Extension Example Cases:

Andrew, Leven, East Yorkshire

In recent months Andrew, came seriously near to the eighty-year threshold with the lease on his two bedroom apartment in Leven. Having bought his flat two decades ago, the length of the lease was of no relevance. Luckily, he noticed he would imminently be paying an escalated premium for Extending the lease. Andrew arranged for a lease extension just in the nick of time in June. Andrew and the landlord in the end agreed on sum of £5,500 . If he had missed the deadline, the figure would have increased by a minimum £1,050.

Leven case:

Dr W Michel acquired a ground floor flat in Leven in May 1997. We are asked if we could estimate the premium could be to extend the lease by an additional years. Comparative properties in Leven with a long lease were in the region of £265,000. The average ground rent payable was £50 invoiced monthly. The lease expired on 4 June 2099. Taking into account 74 years left we approximated the premium to the freeholder to extend the lease to be within £9,500 and £11,000 plus expenses.

Leven case:

Last Winter we were contacted by Ms N Lefebvre , who was assigned a lease of a basement apartment in Leven in January 2000. The question was if we could shed any light on how much (approximately) premium would likely be for a 90 year lease extension. Identical properties in Leven with a long lease were worth £166,400. The average amount of ground rent was £60 invoiced yearly. The lease ran out in 2079. Taking into account 54 years unexpired we approximated the compensation to the freeholder to extend the lease to be within £32,300 and £37,400 plus legals.