The value of Alfriston 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 unexpired lease term is less than eighty years
Leasehold residencies in Alfriston with in excess of one hundred years outstanding on the lease are often regarded as a ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your home. In such situations there is often little upside in buying the reversionary interest unless savings on ground rent and service charges merit it.
| 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. |
| Birmingham Midshires | Minimum 70 years from the date of the mortgage. |
| 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. |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
Lease extensions in Alfriston can be a difficult process. We recommend you procure guidance from a lawyer and valuer well versed in the legislation and lease extension process.
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 Alfriston lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Kai was the the leasehold proprietor of a 2 bedroom apartment in Alfriston on the market with a lease of fraction over 61 years outstanding. Kai informally spoke with his landlord a well known London-based freehold company and enquired on a premium to extend the lease. The freeholder indicated a willingness to grant an extension taking the lease to 125 years on the basis of a rise in the rent to £125 annually. No ground rent would be payable on a lease extension were Kai to exercise his statutory right. Kai obtained expert advice and was able to make an informed decision and handle with the matter and readily saleable.
Mr and Mrs. V Gómez acquired a one bedroom apartment in Alfriston in May 2012. We are asked if we could estimate the premium would be for a 90 year extension to my lease. Comparable premises in Alfriston with 100 year plus lease were in the region of £267,600. The mid-range amount of ground rent was £65 invoiced monthly. The lease concluded in 2092. Having 67 years outstanding we approximated the compensation to the landlord for the lease extension to be within £14,300 and £16,400 not including professional charges.
In 2014 we were called by Dr V Gray who, having completed a one bedroom apartment in Alfriston in September 1997. We are asked if we could approximate the price could be for a ninety year extension to my lease. Identical flats in Alfriston with 100 year plus lease were worth £206,200. The average amount of ground rent was £55 collected quarterly. The lease ran out in 2081. Taking into account 56 years outstanding we calculated the premium to the landlord to extend the lease to be between £31,400 and £36,200 not including legals.