Main reasons to start your Neston lease extension
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Why you should start your Neston lease extension today: </h3>
<h4> A <a href="http://www.lendermonitor.com/conveyancing/loc/neston">Neston</a> lease depreciates with the years remaining on the lease.
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<p> When it comes to residential leasehold premises in Neston, you are actually buying an entitlement to reside in a property for a set period of time. Modern flat leases are usually granted for 99 years or 125. Even though this may appear like a lengthy period of time, you should consider a lease extension sooner rather than later. The general rule is that the shorter the number of years is the cost of extending the lease gets disproportionately more expensive particularly once there are less than 80 years left. Leasehold owners in Neston with a lease approaching 81 years remaining should seriously consider extending it as soon as possible. Once a lease has under eighty years outstanding, under the current statute the landlord can calculate and demand a greater premium, based on a technical multiplication, strangely termed as “marriage value” which is payable. <h4>Neston property with a lease extension is almost the same value as a freehold</h4>
<p> It is conventional wisdom that a residential leasehold with over one hundred years remaining is worth roughly the equivalent as a freehold. Where an additional 90 years added to any lease with more than 45 years unexpired, the property will be worth the same as a freehold for decades to come.
<h4>Lenders will not grant a mortgage on a short lease</h4> Banks and building societies are really restricting their approach as regards to properties in Neston with short leases. For instance you might discover that their lending criteria are stricter and that they adjust interest rates depending on the unexpired lease term. Some may even refrain from lending completely, so if you wanted to sell, your remaining options would be to find a cash purchaser, or hope for the best at auction thus reducing your market.
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<tr><th>Lender</th>
<th> Requirement
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<td>Barnsley Building Society</td>
<td> 60 years from the date of the mortgage application subject to 35 years remaining at the end of the mortgage term.
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<td>Chelsea Building Society</td>
<td> 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.
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<td>National Westminster Bank</td>
<td> Mortgage term plus 30 years.<br /><br />For Shared Ownership, the remaining term of the lease must be at least 75 years plus the term of the mortgage at the outset of the mortgage.
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<td>Skipton Building Society</td>
<td> 85 years from the date of completion of the mortgage<br /><br />For Buy to Let cases:<br />- lettings must not breach any of the lessee’s covenants; and<br />- consent of the lessor to lettings must be obtained if necessary
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<td>Yorkshire Building Society</td>
<td> 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.
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<h4> Get in touch with one of our Neston lease extension solicitors or enfranchisement solicitors
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Lease extensions in Neston can be a difficult process. We recommend you procure professional help from a conveyancer and surveyor well versed in the legislation and lease extension process.
<p>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 in-depth market knowledge procuring Neston lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
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Neston Lease Extension Case Summaries:
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<h5> Ollie, Neston, Cheshire,</h5>
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Ollie was the the leasehold owner of a high value flat in Neston on the market with a lease of fraction over 61 years left. Ollie on an informal basis contacted his landlord being a well known Bristol-based freehold company for a lease extension. The landlord indicated a willingness to extend the lease to 125 years subject to a rise in the rent to £50 yearly. Ordinarily, ground rent would not be payable on a lease extension were Ollie to exercise his statutory right. Ollie obtained expert legal guidance and secured an acceptable resolution without going to tribunal and sell the flat.
<h5>Neston case:</h5>
<p> Ms N Ward moved into a first floor apartment in Neston in November 1997. The dilemma was if we could shed any light on how much (approximately) compensation to the landlord would be for a ninety year lease extension. Similar homes in Neston with a long lease were valued around £250,400. The average amount of ground rent was £65 billed annually. The lease expiry date was in 2090. Taking into account 64 years unexpired we estimated the premium to the freeholder for the lease extension to be between £19,000 and £22,000 plus costs.
<h5>Neston case:</h5>
<p> Ms Catherine Michel bought a studio flat in Neston in October 2012. The dilemma was if we could estimate the price would be for a ninety year lease extension. Identical premises in Neston with a long lease were worth £189,000. The mid-range ground rent payable was £55 billed quarterly. The lease finished in 2079. Taking into account 53 years remaining we calculated the premium to the landlord to extend the lease to be within £28,500 and £33,000 plus professional charges.
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