Millom leases on domestic deteriorating in value. Where your lease has approximately 90 years unexpired, you should start considering the need for a lease extension. If lease term dips under 80 years, you will then be required to pay half of the property's 'marriage value' on top of the usual cost of the lease extension to your landlord. Marriage value is the amount of extra value that a lease extension will add to the property. Leasehold owners in Millom will usually be legally entitled to a lease extension; however It would be wise to check with a conveyancer to confirm your eligibility. In certain situations you may not qualify. There are also strict timetables and formalities to comply with once the process has started so it’s prudent to be guided by a conveyancing solicitor during the process.
Leasehold residencies in Millom with more than one hundred years unexpired on the lease are often referred to as ‘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 merit it.
| 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. |
| 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. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
| Lloyds TSB Scotland | Minimum 70 years from the date of the mortgage. |
| Yorkshire 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. |
Lease extensions in Millom can be a difficult process. We recommend you secure professional help from a conveyancer and valuer 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 dealing with Millom lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Off the back of unsuccessful correspondence with the landlord of her garden apartment in Millom, Ashleigh commenced the lease extension process as the 80 year threshold was swiftly coming. The lease extension completed in September 2006. The landlord’s costs were kept to an absolute minimum.
Mr and Mrs. G Young acquired a studio flat in Millom in June 2012. The dilemma was if we could estimate the compensation to the landlord could be for a ninety year extension to my lease. Comparative flats in Millom with a long lease were valued about £208,200. The mid-range amount of ground rent was £65 collected every twelve months. The lease came to a finish on 14 July 2086. Taking into account 61 years remaining we estimated the premium to the landlord to extend the lease to be within £20,000 and £23,000 not including expenses.
Ms Y Stewart was assigned a lease of a purpose-built apartment in Millom in August 2011. We are asked if we could approximate the premium would be for a 90 year lease extension. Similar premises in Millom with a long lease were in the region of £260,000. The average amount of ground rent was £50 invoiced annually. The lease end date was on 5 April 2097. Considering the 72 years as a residual term we calculated the premium to the freeholder for the lease extension to be between £9,500 and £11,000 plus legals.