On the balance of probabilities where you own a flat in Milton Keynes you actually own a long leasehold interest over your property
It is generally accepted that a residential leasehold with more than one hundred years unexpired lease term is worth approximately the equivalent as a freehold. Where an additional 90 years added to any lease with more than 45 years left, the residence will be worth the same as a freehold for many years ahead.
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. |
Birmingham Midshires | Minimum 70 years from the date of the mortgage. |
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. |
Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
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 Milton Keynes can be a difficult process. We recommend you get 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 Milton Keynes lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Last year Max, started to get near to the 80-year mark with the lease on his one bedroom apartment in Milton Keynes. In buying his flat two decades ago, the length of the lease was of no interest. Thankfully, he realised he would soon be paying an escalated premium for a lease extension. Max arranged for a lease extension just under the wire in April. Max and the freeholder subsequently agreed on a premium of £5,500 . If he failed to meet the deadline, the amount would have become more exhorbitant by a minimum £900.
In 2014 we were phoned by Mr and Mrs. E Lee who, having moved into a purpose-built apartment in Milton Keynes in January 1995. We are asked if we could shed any light on how much (approximately) premium would likely be to extend the lease by an additional years. Similar flats in Milton Keynes with 100 year plus lease were in the region of £205,000. The average ground rent payable was £50 collected yearly. The lease elapsed in 2103. Taking into account 79 years outstanding we estimated the premium to the landlord to extend the lease to be within £7,600 and £8,800 plus costs.
In 2010 we were phoned by Mrs P Gómez who, having moved into a garden flat in Milton Keynes in February 2005. We are asked if we could estimate the price could be for a 90 year lease extension. Similar properties in Milton Keynes with an extended lease were valued around £270,000. The average ground rent payable was £65 billed quarterly. The lease end date was in 2092. Considering the 68 years left we estimated the premium to the landlord to extend the lease to be within £12,400 and £14,200 plus costs.