Uckfield leases on residential properties are gradually losing value. The shorter the remaining lease term becomes, the less it is worth – and accordingly any extension of the lease becomes more expensive. It is the case that most Uckfield tenants have the right to extend their lease by an additional ninety years under the 1993 Leasehold Reform Act. Where you are a leasehold owner in Uckfield you really ought to see if your lease has between 70 and ninety years remaining. There are good reasons why a Uckfield leaseholder with a lease having around eighty years left should take steps to ensure that a lease extension is put in place without delay
Leasehold properties in Uckfield 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 premises. In such situations there is often little upside in purchasing the freehold unless savings on ground rent and service 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. |
| 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. |
| 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. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
The conveyancers that we work with procure Uckfield lease extensions and help protect your position. A lease extension can be arranged to be completed to coincide with a change of ownership so the costs of the lease extension are paid for using part of the sale proceeds. You really do need expert legal advice in this difficult and technical area of law. The lawyer we work with provide it.
Subsequent to lengthy negotiations with the freeholder of her garden apartment in Uckfield, Isobel initiated the lease extension process as the eighty year deadline was fast approaching. The legal work completed in August 2013. The landlord’s costs were negotiated to less than 550 pounds.
Last Christmas we were e-mailed by Mr and Mrs. E Johnson , who completed a first floor apartment in Uckfield in March 2006. The dilemma was if we could estimate the premium would be for a ninety year lease extension. Comparative properties in Uckfield with 100 year plus lease were worth £285,000. The average amount of ground rent was £45 billed every twelve months. The lease concluded on 26 June 2097. Given that there were 72 years outstanding we calculated the compensation to the freeholder to extend the lease to be within £12,400 and £14,200 exclusive of fees.
Last Winter we were called by Dr V Carter , who owned a garden apartment in Uckfield in June 2000. The dilemma was if we could shed any light on how much (approximately) premium would be to prolong the lease by a further 90 years. Comparable homes in Uckfield with an extended lease were worth £233,200. The mid-range ground rent payable was £60 collected per annum. The lease came to a finish on 2 January 2086. Taking into account 61 years unexpired we calculated the compensation to the landlord to extend the lease to be within £22,800 and £26,400 exclusive of professional charges.