The market value of Tibshelf leasehold residential property falls as the lease term becomes shorter and this will have an impact on its saleability. The expense of a lease extension can increase materialy once the remaining term is less than 80 years
Leasehold residencies in Tibshelf with in excess of one hundred years unexpired on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your home. In such circumstances there is often little to be gained by purchasing the freehold unless savings on ground rent and service charges warrant it.
| Lender | Requirement |
|---|---|
| Birmingham Midshires | Minimum 70 years from the date of the mortgage. |
| Chelsea 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. |
| 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. |
| Leeds Building Society | 85 years remaining from the start 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 Tibshelf can be a difficult process. We recommend you procure guidance from a conveyancer and surveyor well versed in the legislation and lease extension process.
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 Tibshelf lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
George owned a conversion flat in Tibshelf being marketed with a lease of a little over sixty years remaining. George informally spoke with his freeholder being a well known local-based freehold company for a lease extension. The landlord indicated a willingness to extend the lease to 125 years on the basis of an increased rent to £125 annually. No ground rent would be due on a lease extension were George to exercise his statutory right. George obtained expert legal guidance and was able to make an informed decision and handle with the matter and readily saleable.
Last Christmas we were phoned by Mr Callum Brown , who acquired a basement apartment in Tibshelf in April 2007. The question was if we could estimate the compensation to the landlord would be to extend the lease by 90 years. Similar premises in Tibshelf with a long lease were in the region of £240,600. The average ground rent payable was £65 invoiced monthly. The lease end date was in 2088. Having 62 years remaining we calculated the compensation to the landlord to extend the lease to be between £21,900 and £25,200 exclusive of costs.
Mr B Richardson owned a one bedroom apartment in Tibshelf in November 2000. We are asked if we could estimate the price could be to extend the lease by an additional years. Comparative flats in Tibshelf with an extended lease were in the region of £179,200. The average amount of ground rent was £55 collected quarterly. The lease ran out in 2077. Given that there were 51 years remaining we approximated the premium to the freeholder to extend the lease to be within £31,400 and £36,200 not including legals.