The basic rule is, all other factors being equal, the shorter the lease the more expensive the premium. Qualifying leaseholders in Rawcliffe can extend the lease for a further 90 years in accordance with Leasehold Reform legislation. Please think carefully before delaying your Rawcliffe lease extension. Shelving the costs today simply increases the premium you will ultimately have to pay for a lease extension.
Leasehold premises in Rawcliffe with over 100 years left on the lease are sometimes referred to as ‘virtual freehold’. This is where the lease value the same as a freehold interest in your property. In such situations there is often little to be gained by purchasing the reversionary interest unless savings on ground rent and estate charges justify it.
| 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. |
| Barnsley Building Society | 60 years from the date of the mortgage application subject to 35 years remaining at the end of the mortgage term. |
| 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. |
| Lloyds TSB Scotland | Minimum 70 years from the date of the mortgage. |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
Lease extensions in Rawcliffe can be a difficult process. We recommend you obtain guidance from a conveyancing solicitor and surveyor 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 Rawcliffe lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Jackson was the the leasehold owner of a conversion apartment in Rawcliffe being sold with a lease of a few days over 61 years left. Jackson on an informal basis spoke with his freeholder being a well known Bristol-based freehold company and enquired on a premium to extend the lease. The freeholder was keen to give an extension on non-statutory terms taking the lease to 125 years subject to an increased rent to £50 annually. No ground rent would be due on a lease extension were Jackson to invoke his statutory right. Jackson obtained expert advice and was able to make an informed decision and deal with the matter and ending up with a market value flat.
Mrs S David completed a studio apartment in Rawcliffe in May 2008. The dilemma was if we could estimate the compensation to the landlord would likely be for a ninety year lease extension. Comparative flats in Rawcliffe with a long lease were in the region of £270,000. The average amount of ground rent was £65 invoiced yearly. The lease end date was in 2093. Given that there were 68 years unexpired we calculated the premium to the freeholder for the lease extension to be within £12,400 and £14,200 plus legals.
Dr Millie Cook owned a one bedroom apartment in Rawcliffe in July 2005. The question was if we could estimate the premium would be to prolong the lease by 90 years. Comparative homes in Rawcliffe with a long lease were worth £208,600. The mid-range ground rent payable was £60 billed annually. The lease finished on 13 October 2082. Considering the 57 years as a residual term we estimated the compensation to the freeholder for the lease extension to be between £30,400 and £35,200 exclusive of professional charges.