The value of St Austell leasehold residential property falls as the lease term becomes shorter and this will have an impact on its saleability. The cost of a lease extension can escalate materialy once the remaining term is less than eighty years
Leasehold residencies in St Austell with over 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 property. In such situations there is often little to be gained by buying the reversionary interest unless savings on ground rent and maintenance charges merit it.
| 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. |
| 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. |
| Halifax | Minimum 70 years from the date of the mortgage. |
| 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 St Austell can be a difficult process. We recommend you secure 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 in-depth market knowledge dealing with St Austell lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Off the back of protracted negotiations with the landlord of her purpose-built flat in St Austell, Eleanor started the lease extension process just as her lease was approaching the crucial 80-year threshold. The transaction was finalised in May 2009. The landlord’s fees were kept to an absolute minimum.
In 2010 we were phoned by Dr Max Bertrand who, having was assigned a lease of a studio flat in St Austell in February 1997. We are asked if we could shed any light on how much (approximately) compensation to the landlord would likely be for a ninety year extension to my lease. Comparable residencies in St Austell with an extended lease were in the region of £193,400. The mid-range amount of ground rent was £65 invoiced annually. The lease elapsed in 2084. Considering the 59 years as a residual term we estimated the compensation to the landlord to extend the lease to be within £21,900 and £25,200 exclusive of legals.
Dr H Cooper was assigned a lease of a studio flat in St Austell in October 1999. We are asked if we could approximate the price would likely be to prolong the lease by 90 years. Comparative flats in St Austell with a long lease were in the region of £255,000. The average ground rent payable was £50 billed monthly. The lease lapsed in 2095. Considering the 70 years remaining we calculated the compensation to the landlord for the lease extension to be between £10,500 and £12,000 exclusive of professional charges.