The only way is down when it comes to Witney lease terms. Witney flats that have a residual term fewer than eighty years will drop in value even faster, and the cost of extending your lease will increase.
Leasehold properties in Witney with over 100 years outstanding on the lease are often referred to as ‘virtual freehold’. This is where the lease value the same as a freehold interest in your premises. In such circumstances there is often little upside in buying the freehold unless savings on ground rent and estate charges merit it.
| Lender | Requirement |
|---|---|
| Barclays plc | Leases with less than 70 years at the commencement of the mortgage should be declined (see exception below). Leases with greater than 70 years but fewer than 85 years remaining must be referred to issuing office. Leases with fewer than 70 years should only be referred to the issuing office where the following scenario applies, as discretion may be applied subject to bank approval: • Property is located in any of the following prestigious developments: Cadogan, Crown, Grosvenor, Howard de Walden, Portman or Wellcome Trust Estates in Central London AND • The value of the property subject to the short remaining term is £500,000 or more AND • The loan to value does not exceed 90% for purchases, 90% like for like re-mortgages, 80% for re-mortgages with any element of capital raising and 80% for existing Barclays mortgage borrowers applying for additional borrowing; |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
| Santander | You must report the unexpired lease term to us and await our instructions if: 1. the unexpired term assumed by our valuer is between 55 and 82 years, but the actual unexpired term differs by more than one year (whether longer or shorter); or 2. the unexpired term assumed by our valuer is more than 82 years but the actual unexpired term is less than 82 years; or 3. no valuation report is provided However, we will not accept a lease where on expiry of the mortgage: (i) less than 50 years remain and all or part of the loan is repaid on an interest-only basis: or (ii) less than 30 years remain and the loan is repaid on a capital and interest basis We will accept a lease that has been extended under the provisions of the Leasehold Reform Act 1993 provided statutory compensation would be available to the leaseholder. |
| 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 |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
Lease extensions in Witney can be a difficult process. We recommend you obtain 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 Witney lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Trailing lengthy discussions with the freeholder of her basement apartment in Witney, Mia started the lease extension process just as her lease was nearing the all-important 80-year threshold. The transaction was finalised in July 2014. The freeholder’s charges were kept to an absolute minimum.
In 2012 we were approached by Mr C Lefebvre who, having completed a one bedroom flat in Witney in March 2002. The question was if we could approximate the compensation to the landlord would likely be for a 90 year lease extension. Identical premises in Witney with 100 year plus lease were worth £233,200. The mid-range ground rent payable was £60 billed monthly. The lease came to a finish in 2086. Taking into account 61 years remaining we calculated the premium to the freeholder to extend the lease to be within £22,800 and £26,400 not including fees.
Last Christmas we were called by Mr F Rogers , who owned a one bedroom apartment in Witney in January 2006. The dilemma was if we could shed any light on how much (approximately) price would be to extend the lease by a further 90 years. Comparative homes in Witney with 100 year plus lease were valued about £166,800. The average ground rent payable was £50 invoiced annually. The lease came to a finish in 2075. Taking into account 50 years left we approximated the compensation to the freeholder to extend the lease to be within £32,300 and £37,400 plus legals.