When it comes to domestic leasehold property in Noak Hill, you effectively rent it for a certain period of time. Modern flat leases typically tend to be for 99 years or 125. Many leasehold owners are unconcerned as this seems like a long period of time, you may consider extending the lease sooner as opposed to later. The general rule is that the shorter the lease is the cost of extending the lease gets disproportionately more expensive notably once there are fewer than 80 years remaining. Leasehold owners in Noak Hill with a lease nearing 81 years unexpired should seriously think of extending it as soon as possible. Once a lease has under 80 years outstanding, under the relevant Act the freeholder can calculate and demand a greater amount, based on a technical computation, known as “marriage value” which is due.
Leasehold premises in Noak Hill with in excess of one hundred years outstanding on the lease are often referred to as ‘virtual freehold’. This is where the lease value the same as a freehold interest in your premises. In such circumstances there is often little upside in buying the reversionary interest unless savings on ground rent and maintenance charges warrant it.
| Lender | Requirement |
|---|---|
| Coventry Building Society | 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. |
| Lloyds TSB Scotland | Minimum 70 years from the date of the mortgage. |
| National Westminster Bank | Mortgage term plus 30 years. For Shared Ownership, the remaining term of the lease must also be not less than 75 years at the outset 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. |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
Retaining our service will provide you enhanced control over the value of your Noak Hill leasehold, as your property will be more valuable and saleable in respect of lease length should you decide to sell. The conveyancing solicitors that we work with are well versed in the legislation handling many hundreds of lease extensions or freehold purchase transactions.
In 2014 Tyler, came precariously close to the eighty-year mark with the lease on his basement apartment in Noak Hill. Having bought his flat two decades ago, the lease term was of minimal concern. Fortunately, he became aware that he would soon be paying an escalated premium for a lease extension. Tyler arranged for a lease extension just under the wire in July. Tyler and the landlord who owned the flat above in the end settled on a premium of £6,000 . If he had missed the deadline, the amount would have become more exhorbitant by at least £1,050.
Mr and Mrs. G Ricardo moved into a studio apartment in Noak Hill in August 1998. The question was if we could shed any light on how much (roughly) compensation to the landlord could be for a 90 year extension to my lease. Comparative properties in Noak Hill with a long lease were valued about £265,000. The mid-range ground rent payable was £50 collected yearly. The lease came to a finish on 21 January 2099. Having 74 years left we approximated the premium to the landlord for the lease extension to be between £9,500 and £11,000 not including legals.
An example of a Lease Extension case for a Noak Hill residence is 37 Lodge Court High Street in November 2013. the decision of the LVT was that the premium to be paid for the new lease was £25,559 This case was in relation to 1 flat. The remaining number of years on the lease was 57.5 years.