Almondsbury leases on residential properties are gradually losing value. Where your lease has approximately 90 years remaining, you should start thinking about a lease extension. An important point to note is that it is financially advisable for a lease extension to be in place before the term of the existing lease drops lower than eighty years - otherwise a higher amount will be due. Leasehold owners in Almondsbury will mostly qualify for a lease extension; however a solicitor will check your eligibility. In certain cases you may not qualify. There are prescribed timetables and formalities to comply with once the process is initiated so it’s sensible to be guided by a conveyancing solicitor during the process.
Leasehold residencies in Almondsbury with in excess of one hundred years remaining 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 property. In such circumstances there is often little to be gained by purchasing the freehold unless savings on ground rent and service charges warrant it.
| Lender | Requirement |
|---|---|
| Bank of Scotland | Minimum 70 years from the date of the mortgage. |
| Godiva Mortgages | 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. |
| 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. |
Lease extensions in Almondsbury can be a difficult process. We recommend you get 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 Almondsbury lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
16 months ago Teddy, started to get close to the 80-year mark with the lease on his first floor flat in Almondsbury. Having purchased his home two decades ago, the length of the lease was of little bearing. Fortunately, he realised he would imminently be paying way over the odds for a lease extension. Teddy extended the lease just under the wire in January. Teddy and the freeholder ultimately agreed on a premium of £6,000 . If the lease had dropped to less than 80 years, the price would have gone up by at least £1,075.
Mrs Sophia Martínez moved into a one bedroom flat in Almondsbury in November 2011. The dilemma was if we could approximate the premium would likely be for a 90 year extension to my lease. Comparable flats in Almondsbury with 100 year plus lease were in the region of £186,000. The mid-range ground rent payable was £65 billed every twelve months. The lease terminated on 23 August 2084. Considering the 58 years outstanding we estimated the premium to the landlord for the lease extension to be within £24,700 and £28,600 plus expenses.
In 2009 we were approached by Mr and Mrs. A Harris who, having was assigned a lease of a recently refurbished apartment in Almondsbury in June 1997. The question was if we could approximate the compensation to the landlord could be to extend the lease by ninety years. Identical premises in Almondsbury with an extended lease were in the region of £250,000. The mid-range ground rent payable was £50 invoiced annually. The lease expiry date was in 2095. Having 69 years left we approximated the compensation to the landlord for the lease extension to be within £9,500 and £11,000 plus legals.