Winsford leases on residential properties are gradually losing value. The shorter the remaining lease term becomes, the less it is worth – and accordingly any extension of your lease gets more expensive. Legislation has been in place for sometime now allowing qualifying Winsford residential leaseholders to extend the terms of long leases. Where you are a leasehold owner in Winsford you would be well advised to investigate if your lease has between seventy and ninety years left. In particular once the remaining lease term slips under eighty years, the premium due on any lease extension increases dramatically as part of the premium you pay is what is known as a marriage value
It is conventional wisdom that a property with in excess of one hundred years unexpired lease term is worth approximately the equivalent as a freehold. Where an further ninety years added to all but the shortest lease, the residence will be worth the same as a freehold for decades to come.
| Lender | Requirement |
|---|---|
| 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. |
| National Westminster Bank | Mortgage term plus 30 years. |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
Lease extensions in Winsford can be a difficult process. We recommend you obtain guidance from a lawyer and surveyor with experience in lease extensions.
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 procuring Winsford lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
In recent months John, came precariously near to the 80-year threshold with the lease on his garden apartment in Winsford. Having bought his property 18 years ago, the lease term was of minimal relevance. As luck would have it, he recognised he needed to take steps soon on a lease extension. John extended the lease just under the wire in March. John and the freeholder via the management company in the end settled on sum of £5,500 . If he had missed the deadline, the price would have escalated by a minimum £1,050.
Mr and Mrs. O Harris took over the lease of a basement apartment in Winsford in January 2012. We are asked if we could estimate the compensation to the landlord would be to extend the lease by a further 90 years. Comparable flats in Winsford with 100 year plus lease were in the region of £250,000. The average ground rent payable was £50 collected yearly. The lease ended in 2094. Considering the 69 years left we calculated the premium to the freeholder to extend the lease to be within £9,500 and £11,000 not including professional charges.
Last Christmas we were called by Ms G Richardson , who owned a one bedroom flat in Winsford in September 1999. We are asked if we could approximate the compensation to the landlord would be for a 90 year extension to my lease. Comparative properties in Winsford with an extended lease were valued about £285,000. The average amount of ground rent was £55 invoiced quarterly. The lease expired on 2 August 2105. Considering the 80 years outstanding we estimated the premium to the landlord for the lease extension to be within £12,400 and £14,200 not including professional charges.