With a domestic leasehold property in Stockport, you are actually buying a right to live in a property for a set period of time. In recent years flat leases are usually granted for 99 years or 125. Many leasehold owners become complacent as this seems like a lengthy period of time, you may think about a lease extension sooner rather than later. The general rule is that the shorter the lease is the cost of extending the lease increases markedly notably once there are fewer than 80 years left. Residents in Stockport with a lease drawing near to 81 years left should seriously consider extending it without delay. When the lease term has below 80 years left, under the current Act the landlord is entitled to calculate and levy a greater amount, based on a technical computation, strangely termed as “marriage value” which is due.
Leasehold premises in Stockport with in excess of one hundred years unexpired on the lease are often regarded as a ‘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 freehold unless savings on ground rent and estate charges justify it.
| Lender | Requirement |
|---|---|
| Birmingham Midshires | Minimum 70 years from the date of the mortgage. |
| Halifax | Minimum 70 years from the date of the mortgage. |
| Lloyds TSB Scotland | 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. |
Lease extensions in Stockport can be a difficult process. We recommend you procure guidance from a lawyer and valuer 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 Stockport lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
After protracted negotiations with the freeholder of her one bedroom apartment in Stockport, Alice commenced the lease extension process as the 80 year mark was swiftly nearing. The legal work completed in September 2011. The landlord’s fees were kept to an absolute minimum.
Mr and Mrs. A Campbell completed a studio flat in Stockport in September 2012. We are asked if we could approximate the premium would likely be for a 90 year extension to my lease. Identical homes in Stockport with an extended lease were worth £250,000. The average amount of ground rent was £50 billed quarterly. The lease concluded in 2095. Considering the 70 years remaining we approximated the premium to the freeholder for the lease extension to be between £9,500 and £11,000 plus expenses.
Last Summer we were approach by Mr and Mrs. T Morel , who moved into a one bedroom apartment in Stockport in January 2006. The question was if we could shed any light on how much (approximately) price could be for a ninety year extension to my lease. Comparable homes in Stockport with an extended lease were valued around £246,800. The average ground rent payable was £60 invoiced monthly. The lease lapsed on 10 July 2075. Considering the 50 years outstanding we approximated the premium to the landlord to extend the lease to be within £44,700 and £51,600 plus fees.