When it comes to residential leasehold property in Warfield, you are actually purchasing an entitlement 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 should think about a lease extension sooner as opposed to later. Accepted thinking is that the shorter the lease is the cost of extending the lease increases markedly especially when there are fewer than eighty years left. Residents in Warfield with a lease approaching 81 years remaining should seriously consider extending it without delay. Once the lease term has fewer than 80 years remaining, under the current statute the freeholder is entitled to calculate and charge a larger amount, based on a technical calculation, strangely termed as “marriage value” which is due.
It is conventional wisdom that a property with over one hundred years remaining is worth roughly the equivalent as a freehold. Where an additional 90 years added to any lease with more than 45 years left, the residence will be worth the same as a freehold for many years ahead.
| 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. |
| Halifax | Minimum 70 years from the date of the mortgage. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
| 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 Warfield can be a difficult process. We recommend you obtain professional help from a lawyer and valuer with experience in this area.
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 Warfield lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
During the course of the last few months Jamie, came seriously close to the eighty-year threshold with the lease on his one bedroom apartment in Warfield. In buying his flat twenty years previously, the lease term was of no bearing. As luck would have it, he recognised he would soon be paying an escalated premium for Extending the lease. Jamie was able to extend his lease just under the wire last January. Jamie and the freeholder via the managing agents subsequently settled on a premium of £6,000 . If he had missed the deadline, the price would have escalated by at least £1,100.
Last Spring we were e-mailed by Mr George Parker , who acquired a garden flat in Warfield in May 1999. We are asked if we could shed any light on how much (roughly) premium would be to prolong the lease by a further 90 years. Comparable premises in Warfield with a long lease were valued about £176,200. The average amount of ground rent was £65 billed yearly. The lease ended in 2081. Taking into account 56 years unexpired we approximated the compensation to the landlord to extend the lease to be between £29,500 and £34,000 exclusive of legals.
Dr Eliot Sharif took over the lease of a one bedroom apartment in Warfield in September 2011. The question was if we could shed any light on how much (approximately) price would be to extend the lease by a further 90 years. Identical properties in Warfield with a long lease were in the region of £242,600. The average ground rent payable was £45 billed yearly. The lease terminated in 2092. Considering the 67 years remaining we estimated the premium to the landlord for the lease extension to be within £11,400 and £13,200 not including expenses.