Chances are that if you own a flat in Westbury Park you actually own a long leasehold interest over your property
Leasehold residencies in Westbury Park with over 100 years left on the lease are sometimes referred to as ‘virtual freehold’. This is where the lease is worth 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 justify 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. |
| Lloyds TSB Scotland | Minimum 70 years from the date of the mortgage. |
| TSB | Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption. |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
Using our service gives you enhanced control over the value of your Westbury Park leasehold, as your property will be more valuable and saleable in relation to the lease length should you decide to sell. The conveyancing solicitors that we work with have a wealth of experience of handling many hundreds of lease extensions or freehold purchase transactions.
Last Spring Callum, started to get near to the eighty-year mark with the lease on his two bedroom flat in Westbury Park. Having bought his property 19 years previously, the length of the lease was of minimal bearing. As luck would have it, he noticed he needed to take steps soon on Extending the lease. Callum extended the lease just ahead of time last June. Callum and the freeholder via the management company subsequently settled on an amount of £5,500 . If the lease had dipped below eighty years, the premium would have increased by a minimum £925.
In 2012 we were approached by Dr M Laurent who, having was assigned a lease of a studio flat in Westbury Park in February 2012. The dilemma was if we could approximate the price could be to prolong the lease by ninety years. Similar flats in Westbury Park with an extended lease were in the region of £223,400. The mid-range ground rent payable was £60 invoiced every twelve months. The lease termination date was in 2085. Taking into account 59 years outstanding we calculated the premium to the landlord for the lease extension to be between £27,600 and £31,800 not including costs.
Mr and Mrs. E Reed acquired a one bedroom apartment in Westbury Park in May 1995. We are asked if we could shed any light on how much (roughly) compensation to the landlord would be to extend the lease by 90 years. Identical flats in Westbury Park with a long lease were worth £205,000. The mid-range ground rent payable was £50 billed yearly. The lease ended in 2105. Having 79 years unexpired we estimated the premium to the landlord to extend the lease to be within £8,600 and £9,800 plus fees.