The closer a residential lease in Moorgate gets to zero years unexpired, the more it reduces the value of the property. If the lease has, over 99 years remaining then this decrease may be fractional however there will become a stage when a lease has less than 80 years unexpired as part of the premium you will incur is what is termed as a marriage value. This could increase markedly the cost. It is the main reason why you should extend the lease without delay. Many flat owners in Moorgate will meet the qualifying criteria; that being said a conveyancing solicitor can advise whether you are eligible to extend your lease. In certain situations you may not qualify, the most frequent reason being that you have owned the property for under two years.
It is generally accepted that a residential leasehold with more than one hundred years unexpired lease term is worth approximately the same as a freehold. Where an further ninety years added to any lease with more than 45 years left, the premises will be worth the same as a freehold for decades to come.
| Lender | Requirement |
|---|---|
| Accord Mortgages | 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. |
| Birmingham Midshires | Minimum 70 years from the date of the mortgage. |
| Halifax | 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 |
| 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. |
Using our service gives you increased control over the value of your Moorgate leasehold, as your property will be more valuable and marketable in respect of lease length should you decide to sell. The lawyers that we work with have a wealth of experience of handling many hundreds of lease extensions or freehold purchase transactions.
Following lengthy negotiations with the freeholder of her leasehold apartment in Moorgate, Poppy commenced the lease extension process just as her lease was nearing the crucial eighty-year mark. The legal work was concluded in June 2008. The freeholder’s charges were kept to an absolute minimum.
Mr and Mrs. I Laurent was assigned a lease of a one bedroom flat in Moorgate in April 1997. The dilemma was if we could estimate the compensation to the landlord would be for a ninety year lease extension. Similar residencies in Moorgate with a long lease were valued about £198,800. The mid-range ground rent payable was £55 billed monthly. The lease expired on 11 September 2080. Considering the 55 years left we approximated the compensation to the landlord for the lease extension to be between £33,300 and £38,400 not including costs.
An example of a Lease Extension case for a Moorgate flat is 137 & 139 Haberdasher Street in December 2013. The Tribunal determines in accordance with section 48 and Schedule 13 of the Leasehold Reform, Housing and Urban Development Act 1993 that the premium for the extended lease for each Property should be £12,350.00. This case related to 2 flats. The remaining number of years on the lease was 72.39 years.