Maldon leases on residential deteriorating in value. if your lease has approximately ninety years left, you should start thinking about a lease extension. An important point to note is that it is desirable for your lease extension to take place before the term of the current lease falls below 80 years - otherwise a higher amount will be payable. Flat owners in Maldon will usually qualify for a lease extension; however It would be wise to check with a conveyancing solicitor to confirm if you qualify. In certain situations you may not be entitled. There are prescribed deadlines and procedures to comply with once the process has commenced so it’s sensible to be guided by a conveyancing solicitor during the process.
Leasehold properties in Maldon with in excess of one hundred years unexpired on the lease are sometimes 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 upside in purchasing the freehold unless savings on ground rent and service charges warrant it.
| Lender | Requirement |
|---|---|
| Bank of Scotland | Minimum 70 years from the date of the mortgage. |
| Barnsley Building Society | 60 years from the date of the mortgage application subject to 35 years remaining at the end of the mortgage term. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
| Lloyds TSB Scotland | Minimum 70 years from the date of the mortgage. |
| Santander | You must report the unexpired lease term to us and await our instructions if: 1. the unexpired term assumed by our valuer is between 55 and 82 years, but the actual unexpired term differs by more than one year (whether longer or shorter); or 2. the unexpired term assumed by our valuer is more than 82 years but the actual unexpired term is less than 82 years; or 3. no valuation report is provided However, we will not accept a lease where on expiry of the mortgage: (i) less than 50 years remain and all or part of the loan is repaid on an interest-only basis: or (ii) less than 30 years remain and the loan is repaid on a capital and interest basis We will accept a lease that has been extended under the provisions of the Leasehold Reform Act 1993 provided statutory compensation would be available to the leaseholder. |
Lease extensions in Maldon can be a difficult process. We recommend you secure 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 a wealth of experience procuring Maldon lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
In 2014 Adam, started to get close to the eighty-year threshold with the lease on his one bedroom apartment in Maldon. In buying his flat twenty years previously, the length of the lease was of little significance. Thankfully, he realised he needed to take action soon on a lease extension. Adam was able to extend his lease at the eleventh hour last May. Adam and the landlord who owned the flat above ultimately settled on the final figure of £6,000 . If the lease had gone lower than eighty years, the figure would have gone up by at least £975.
In 2011 we were called by Dr Alice Allen who, having completed a basement flat in Maldon in August 2007. We are asked if we could approximate the price could be to extend the lease by a further 90 years. Comparable residencies in Maldon with an extended lease were valued around £191,000. The mid-range amount of ground rent was £65 billed every twelve months. The lease elapsed on 27 October 2082. Given that there were 58 years left we approximated the compensation to the freeholder to extend the lease to be between £23,800 and £27,400 not including expenses.
Mr and Mrs. C Dupont was assigned a lease of a purpose-built flat in Maldon in April 1996. We are asked if we could approximate the compensation to the landlord would be to extend the lease by an additional years. Similar flats in Maldon with a long lease were valued around £250,000. The average ground rent payable was £50 collected yearly. The lease finished on 19 July 2093. Having 69 years as a residual term we approximated the premium to the landlord to extend the lease to be between £9,500 and £11,000 exclusive of costs.