Top reasons for Alfreton lease extension
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<h3> Top reasons for lease extension now:
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Increase your lease and increase your <a href="http://www.lendermonitor.com/conveyancing/loc/alfreton">Alfreton</a> property value </h4>
<p> Owning a flat usually means owning a lease of the property, this is a ‘time-limited’ interest becoming shorter every day. The lease will ordinarily be granted for a set period of time , usually 99 or 125 years, although we have come across longer and shorter terms in Alfreton. Clearly, the length of lease left reduces as time goes by. This may pass by relatively unnoticed when the residence needs to be sold or refinanced. The fewer the years remaining the lower the value of the property and the more expensive it will be to extend the lease. Eligible long lease owners in Alfreton have the legal entitlement to extend the lease for an additional 90 years under Leasehold Reform legislation. You should give careful deliberation before delaying your Alfreton lease extension. Holding off the cost now only increases the price you will ultimately have to pay for a lease extension <h4>An extended lease has roughly the same value as a freehold</h4>
<p> It is generally accepted that a property with in excess of 100 years unexpired lease term is worth roughly the equivalent as a freehold. Where an further 90 years added to any lease with more than 30 years unexpired, the property will be worth the same as a freehold for many years ahead.
<h4>Banks and Building Societies will not loan monies on a short lease</h4> Banks and Building Societies are less likely to grant a mortgage on a residential property in Alfreton with a short lease. Some lenders simply refuse a mortgage on leases with under 75 years left.
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<tr><th>Lender</th>
<th> Requirement
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<td>Barclays plc</td>
<td> Leases with less than 70 years at the commencement of the mortgage should be declined (see exception below).<br /><br />Leases with greater than 70 years but fewer than 85 years remaining must be referred to issuing office.<br /><br />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:<br /><br />• 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<br />• The value of the property subject to the short remaining term is £500,000 or more AND<br />• 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;
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<td>Barnsley Building Society</td>
<td> 60 years from the date of the mortgage application subject to 35 years remaining at the end of the mortgage term.
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<td>Chelsea 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.
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<td>Leeds Building Society</td>
<td> 85 years remaining from the start of the mortgage.
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<td>Lloyds TSB Scotland</td>
<td> Minimum 70 years from the date of the mortgage.
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Why use us for your lease extension in Alfreton? </h4>
<p> Irrespective of whether you are a tenant or a freeholder in Alfreton,the lease extension experts that we work with will always be happy to discuss any residential leasehold matters and offer you the benefit of their experience and the close ties they enjoy with Alfreton valuers.
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Alfreton Lease Extension Example Cases:
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<h5> Dylan, Alfreton, Derbyshire</h5>
<p> Two years ago Dylan, started to get near to the eighty-year threshold with the lease on his first floor apartment in Alfreton. Having bought his flat 18 years previously, the lease term was of no concern. by good luck, he realised he would imminently be paying an inflated amount for a lease extension. Dylan extended the lease at the eleventh hour last August. Dylan and the freeholder in the end settled on an amount of £5,000 . If the lease had dropped below eighty years, the sum would have gone up by at least £1,000.
<h5>Alfreton case:</h5>
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In 2012 we were contacted by Mrs Y Evans who, having moved into a recently refurbished flat in Alfreton in August 2002. We are asked if we could shed any light on how much (approximately) premium could be to extend the lease by an additional years. Similar homes in Alfreton with 100 year plus lease were in the region of £166,400. The average amount of ground rent was £60 billed quarterly. The lease ended on 24 November 2080. Given that there were 54 years left we estimated the compensation to the freeholder to extend the lease to be within £32,300 and £37,400 not including professional charges.
<h5>Alfreton case:</h5>
<p> Dr Ella Walker took over the lease of a garden flat in Alfreton in August 2012. We are asked if we could estimate the compensation to the landlord would likely be to extend the lease by 90 years. Comparable properties in Alfreton with a long lease were valued about £232,800. The average amount of ground rent was £45 invoiced annually. The lease lapsed in 2091. Taking into account 65 years as a residual term we calculated the compensation to the freeholder for the lease extension to be within £13,300 and £15,400 not including fees.
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