Top reasons for Winterbourne lease extension
<div class="lm-topic lm-topic-lender">
<p>
<h3>
Why you should start your Winterbourne lease extension today: </h3>
<h4>
Increase your lease and increase your <a href="http://www.lendermonitor.com/conveyancing/loc/winterbourne">Winterbourne</a> property value </h4>
<p> The value of Winterbourne leasehold residential property falls as the lease term becomes shorter and this will have an impact on its saleability. The cost of a lease extension can escalate substantially once the remaining term is less than eighty years
<h4>An extended lease has roughly the same value as a freehold</h4>
<p> It is generally considered that a residential leasehold with more than one hundred years remaining is worth approximately the equivalent as a freehold. Where an further 90 years added to all but the shortest lease, the property will be equivalent in value to a freehold for many years ahead.
<h4>Lending institutions may not issue a mortgage with a short lease</h4> Whether or not the lease is be regarded as a short lease depends on the specific mortgage company, yet lending institutions start to get jittery at around 75 years. This may cause difficulties when you come to dispose of or refinance your flat as it will be effectively unmortgageable. Even though you may have no immediate plan to sell but when you do your purchaser must hold off for 2 years before they can start the legal procedures for a lease extension.
<p>
<div class="row">
<div class="col-sm-8">
<table class="table table-striped table-condensed">
<thead>
<tr><th>Lender</th>
<th> Requirement
</thead>
<tbody>
<tr>
<td>Halifax</td>
<td> Minimum 70 years from the date of the mortgage.
</tr>
<tr>
<td>Leeds Building Society</td>
<td> 85 years remaining from the start of the mortgage.
</tr>
<tr>
<td>Royal Bank of Scotland</td>
<td> Mortgage term plus 30 years.
</tr>
<tr>
<td>Virgin</td>
<td> 85 years at the time of completion. If it's less, we require it to be extended on or before completion.
</tr>
<tr>
<td>Yorkshire Building Society</td>
<td> 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.
</tr>
</tbody>
</table>
</div>
</div>
<h4>
What makes us experts in Winterbourne lease extensions?
</h4>
<p> Irrespective of whether you are a tenant or a freeholder in Winterbourne,the lease extension lawyers that we work with will always be prepared to discuss any residential leasehold matters and offer you the benefit of their in-depth market knowledge and the close ties they enjoy with Winterbourne valuers.
<h4>
Winterbourne Lease Extension Case Summaries:
</h4>
<h5> Sam, Winterbourne, Gloucestershire,</h5>
<p>
Sam was the the leasehold owner of a conversion flat in Winterbourne being marketed with a lease of a little over 72 years left. Sam informally spoke with his landlord a well known local-based freehold company and enquired on a premium to extend the lease. The freeholder indicated a willingness to extend the lease to 125 years on the basis of a new rent at the outset set at £100 per annum and doubled every 25 years thereafter. No ground rent would be due on a lease extension were Sam to exercise his statutory right. Sam obtained expert legal guidance and was able to make a more informed judgement and deal with the matter and sell the property.
<h5>Winterbourne case:</h5>
<p>
In 2014 we were approached by Mr James Taylor who, having bought a garden flat in Winterbourne in November 2011. The dilemma was if we could estimate the premium would likely be for a ninety year extension to my lease. Comparative flats in Winterbourne with an extended lease were worth £240,600. The average amount of ground rent was £60 collected annually. The lease ended on 10 May 2088. Having 62 years as a residual term we calculated the premium to the freeholder to extend the lease to be within £21,900 and £25,200 not including fees.
<h5>Winterbourne case:</h5>
<p> Mr Lewis Brown was assigned a lease of a first floor flat in Winterbourne in June 2001. The dilemma was if we could approximate the premium could be for a ninety year extension to my lease. Comparative flats in Winterbourne with a long lease were worth £174,200. The mid-range ground rent payable was £55 invoiced per annum. The lease ended in 2077. Considering the 51 years outstanding we calculated the premium to the freeholder to extend the lease to be within £31,400 and £36,200 not including expenses.
</div>