With a residential leasehold property in Alderley Edge and Wilmslow, you effectively rent it for a certain amount of time. In recent years flat leases typically tend to be for 99 years or 125. Many leasehold owners are unconcerned as this seems like a long period of time, you should think about extending the lease sooner as opposed to later. The general rule is that the shorter the number of years is the cost of extending the lease increases markedly particularly once there are less than eighty years remaining. Anyone in Alderley Edge and Wilmslow with a lease approaching 81 years unexpired should seriously consider extending it as soon as possible. Once a lease has below eighty years remaining, under the current legislation the landlord is entitled to calculate and levy a larger premium, assessed on a technical computation, strangely termed as “marriage value” which is payable.
It is generally considered that a residential leasehold with more than 100 years remaining is worth roughly the same as a freehold. Where an additional 90 years added to any lease with more than 30 years left, the premises will be equivalent in value to a freehold for many years ahead.
| Lender | Requirement |
|---|---|
| Accord Mortgages | 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. |
| Barnsley Building Society | 60 years from the date of the mortgage application subject to 35 years remaining at the end of the mortgage term. |
| 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. |
| Yorkshire 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. |
Lease extensions in Alderley Edge and Wilmslow can be a difficult process. We recommend you procure professional help from a conveyancing solicitor 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 dealing with Alderley Edge and Wilmslow lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Trailing protracted discussions with the freeholder of her basement apartment in Alderley Edge and Wilmslow, Amy started the lease extension process as the 80 year deadline was rapidly nearing. The transaction was finalised in June 2007. The landlord’s costs were kept to an absolute minimum.
Last Spring we were approach by Mr and Mrs. F Allen , who purchased a ground floor apartment in Alderley Edge and Wilmslow in June 1997. The dilemma was if we could shed any light on how much (roughly) price would be to extend the lease by a further 90 years. Similar residencies in Alderley Edge and Wilmslow with 100 year plus lease were valued around £285,000. The average ground rent payable was £45 billed annually. The lease came to a finish on 11 August 2096. Having 71 years left we calculated the premium to the freeholder for the lease extension to be within £12,400 and £14,200 exclusive of expenses.
Last month we were called by Mr and Mrs. I Brooks , who moved into a recently refurbished flat in Alderley Edge and Wilmslow in June 1995. We are asked if we could estimate the price would be to prolong the lease by a further 90 years. Similar premises in Alderley Edge and Wilmslow with a long lease were valued about £230,800. The average ground rent payable was £60 billed quarterly. The lease concluded on 24 April 2085. Having 60 years outstanding we calculated the compensation to the landlord to extend the lease to be within £24,700 and £28,600 exclusive of professional charges.