The only way is down when it comes to Weymouth lease terms. Weymouth flats that have a remaining term shorter than 80 years will drop in market price even faster, and the cost to extend your lease will rise.
It is generally accepted that a property with over 100 years remaining is worth roughly the same as a freehold. Where an further 90 years added to all but the shortest lease, the property will be worth the same as a freehold for decades to come.
| Lender | Requirement |
|---|---|
| Bank of Scotland | Minimum 70 years from the date of the mortgage. |
| Birmingham Midshires | Minimum 70 years from the date of the mortgage. |
| Chelsea 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. |
| 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. |
| Skipton Building Society | 85 years from the date of completion of the mortgage For Buy to Let cases: - lettings must not breach any of the lessee’s covenants; and - consent of the lessor to lettings must be obtained if necessary |
Lease extensions in Weymouth can be a difficult process. We recommend you get professional help from a conveyancer 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 dealing with Weymouth lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Subsequent to unsuccessful correspondence with the landlord of her purpose-built flat in Weymouth, Kelsey started the lease extension process just as the lease was nearing the critical 80-year mark. The transaction completed in February 2015. The freeholder’s costs were restricted to a tad over 600 pounds.
Last year we were called by Ms Chelsea Hall , who purchased a ground floor flat in Weymouth in January 2009. The question was if we could estimate the compensation to the landlord would likely be for a ninety year lease extension. Identical premises in Weymouth with an extended lease were worth £173,800. The average ground rent payable was £60 invoiced annually. The lease came to a finish in 2081. Given that there were 55 years outstanding we estimated the premium to the landlord to extend the lease to be between £31,400 and £36,200 not including costs.
In 2012 we were approached by Mr and Mrs. E Alexander who, having was assigned a lease of a studio apartment in Weymouth in February 2003. The dilemma was if we could approximate the premium could be for a ninety year lease extension. Identical residencies in Weymouth with an extended lease were in the region of £235,200. The mid-range amount of ground rent was £45 invoiced per annum. The lease finished in 2092. Having 66 years as a residual term we estimated the premium to the freeholder to extend the lease to be within £12,400 and £14,200 plus fees.