When it comes to long leasehold premises in Trimdon, you are actually purchasing a right to live in a property for a set period of time. These days flat leases typically tend to be for 99 years or 125. Even though this may appear like a lengthy period of time, you may think about extending the lease sooner rather than later. The general rule is that the shorter the number of years is the cost of extending the lease increases markedly notably when there are fewer than 80 years left. Anyone in Trimdon with a lease approaching 81 years unexpired should seriously think of extending it as soon as possible. When the lease term has fewer than 80 years left, under the relevant statute the landlord is entitled to calculate and charge a greater amount, based on a technical calculation, known as “marriage value” which is due.
It is generally accepted that a residential leasehold with over 100 years remaining is worth roughly the same as a freehold. Where an additional ninety years added to all but the shortest lease, the residence will be equivalent in value to a freehold for many years ahead.
| Lender | Requirement |
|---|---|
| Bank of Scotland | Minimum 70 years from the date of the mortgage. |
| Barnsley Building Society | 60 years from the date of the mortgage application subject to 35 years remaining at the end of the mortgage term. |
| 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. |
| National Westminster Bank | Mortgage term plus 30 years. |
| TSB | Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption. |
Regardless of whether you are a tenant or a freeholder in Trimdon,the lease extension lawyers that we work with will always be willing to discuss any residential leasehold matters and offer you the benefit of their experience and the close ties they enjoy with Trimdon valuers.
Ben owned a high value flat in Trimdon being sold with a lease of a little over 61 years outstanding. Ben informally approached his landlord a well known local-based freehold company for a lease extension. The freeholder indicated a willingness to grant an extension taking the lease to 125 years subject to a new rent at the outset set at £150 per annum and doubled every twenty five years thereafter. Ordinarily, ground rent would not be due on a lease extension were Ben to invoke his statutory right. Ben obtained expert legal guidance and secured satisfactory deal informally and ending up with a market value flat.
Mr J Johnson moved into a basement apartment in Trimdon in June 2003. The dilemma was if we could estimate the premium would be for a 90 year lease extension. Similar homes in Trimdon with an extended lease were in the region of £193,400. The average ground rent payable was £65 invoiced per annum. The lease ran out in 2083. Given that there were 59 years outstanding we approximated the premium to the freeholder for the lease extension to be within £21,900 and £25,200 plus professional charges.
In 2010 we were called by Mr and Mrs. Y Roberts who, having was assigned a lease of a recently refurbished flat in Trimdon in October 2009. We are asked if we could approximate the compensation to the landlord would be to extend the lease by a further 90 years. Similar homes in Trimdon with 100 year plus lease were valued about £255,000. The average ground rent payable was £50 invoiced annually. The lease expired on 10 April 2094. Given that there were 70 years unexpired we approximated the premium to the landlord to extend the lease to be between £9,500 and £11,000 exclusive of fees.