The rule of thumb is, all other things holding equal, the shorter the lease the more costly the premium. Qualifying leaseholders in Wilmslow can extend the lease for a further 90 years under legislation. Do give careful consideration before delaying your Wilmslow lease extension. Putting off that expense today simply escalates the premium you will ultimately be required to pay to extend the lease.
It is conventional wisdom that a property with over one hundred years remaining is worth roughly the same as a freehold. Where an further 90 years added to all but the shortest lease, the premises will be worth the same as a freehold for many years in the future.
| Lender | Requirement |
|---|---|
| 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. |
| 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. |
| Santander | If the property is leasehold, the remaining unexpired lease term at the end of the new mortgage term must be at least 50 years where any part of the mortgage is on Interest Only and 30 years if all loan parts are on Capital Repayment and Interest. You must report the unexpired lease term to us and await our instructions if:
|
| Royal Bank of Scotland | Mortgage term plus 30 years. |
Lease extensions in Wilmslow can be a difficult process. We recommend you secure guidance from a conveyancing solicitor and surveyor 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 in-depth market knowledge dealing with Wilmslow lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Two years ago Muhammad, came precariously close to the 80-year mark with the lease on his ground floor apartment in Wilmslow. In buying his property two decades ago, the unexpired term was of little significance. As luck would have it, he realised he would soon be paying way over the odds for Extending the lease. Muhammad extended the lease just ahead of time last May. Muhammad and the landlord who owned the flat above eventually settled on the final figure of £5,000 . If the lease had descended below 80 years, the figure would have gone up by at least £975.
Mr and Mrs. K Ward purchased a one bedroom flat in Wilmslow in September 1999. We are asked if we could estimate the price would be to extend the lease by 90 years. Identical homes in Wilmslow with an extended lease were worth £275,000. The mid-range ground rent payable was £55 invoiced monthly. The lease came to a finish in 2102. Taking into account 76 years unexpired we calculated the compensation to the freeholder for the lease extension to be within £9,500 and £11,000 exclusive of costs.
Last Spring we were contacted by Mr and Mrs. G Davis , who owned a recently refurbished flat in Wilmslow in May 2008. The dilemma was if we could shed any light on how much (roughly) premium could be to extend the lease by 90 years. Identical flats in Wilmslow with 100 year plus lease were in the region of £176,200. The average ground rent payable was £65 collected every twelve months. The lease expired in 2082. Considering the 56 years as a residual term we estimated the compensation to the freeholder for the lease extension to be within £29,500 and £34,000 not including expenses.