The rule of thumb is, all other factors being equal, the shorter the lease the more expensive the premium. Qualifying leaseholders in Urmston can extend the lease for a further 90 years under the 1993 Leasehold Reform Act. Do think carefully before delaying your Urmston lease extension. Shelving that expense today simply increases the amount you will ultimately be required to pay to extend the lease.
Leasehold residencies in Urmston with in excess of one hundred years outstanding on the lease are sometimes regarded as a ‘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 purchasing the reversionary interest unless savings on ground rent and estate charges justify it.
| Lender | Requirement |
|---|---|
| Bank of Scotland | Minimum 70 years from the date of the mortgage. |
| 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. For Shared Ownership, the remaining term of the lease must also be not less than 75 years at the outset of the mortgage. |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
| 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 Urmston can be a difficult process. We recommend you get guidance from a conveyancing solicitor 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 a wealth of experience procuring Urmston lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Gabriel owned a studio flat in Urmston on the market with a lease of fraction over fifty eight years left. Gabriel informally contacted his landlord being a well known Manchester-based freehold company for a lease extension. The landlord indicated a willingness to grant an extension taking the lease to 125 years subject to a new rent at the outset set at £100 per annum and increase every twenty five years thereafter. Ordinarily, ground rent would not be payable on a lease extension were Gabriel to exercise his statutory right. Gabriel procured expert legal guidance and was able to make a more informed judgement and handle with the matter and readily saleable.
In 2009 we were contacted by Ms H Bell who, having took over the lease of a one bedroom flat in Urmston in August 2009. We are asked if we could approximate the premium could be for a ninety year lease extension. Identical residencies in Urmston with an extended lease were worth £201,200. The mid-range amount of ground rent was £55 billed quarterly. The lease ran out in 2081. Having 56 years outstanding we calculated the compensation to the landlord for the lease extension to be within £31,400 and £36,200 exclusive of costs.
In 2014 we were called by Mr and Mrs. S Vincent who, having completed a purpose-built flat in Urmston in April 2010. The question was if we could estimate the premium would likely be to prolong the lease by 90 years. Identical properties in Urmston with 100 year plus lease were worth £300,000. The average amount of ground rent was £50 billed annually. The lease expired in 2101. Having 76 years unexpired we estimated the compensation to the landlord to extend the lease to be between £8,600 and £9,800 not including professional charges.