The only way is down when it comes to Anlaby lease terms. Anlaby properties that have a lease term lower than 80 years will de-escalate in value at a rapid rate, and the cost to extend your lease will rise.
Leasehold properties in Anlaby with in excess of one hundred years remaining 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 situations there is often little to be gained by purchasing the reversionary interest 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; |
| 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. |
| TSB | Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption. |
The lawyers that we work with handle Anlaby lease extensions and help protect your position. A lease extension can be arranged to be completed to coincide with a change of ownership so the costs of the lease extension are paid for using part of the sale proceeds. You really do need expert legal advice in this difficult and technical area of law. The conveyancer we work with provide it.
Two years ago Milo, started to get close to the 80-year threshold with the lease on his ground floor apartment in Anlaby. Having bought his property two decades ago, the unexpired term was of little concern. by good luck, he realised he needed to take action soon on Extending the lease. Milo was able to extend his lease just ahead of time last January. Milo and the freeholder subsequently settled on the final figure of £5,000 . If he failed to meet the deadline, the figure would have become more exhorbitant by a minimum £1,125.
Ms Isabelle Wood took over the lease of a first floor flat in Anlaby in June 1997. The dilemma was if we could shed any light on how much (roughly) premium could be to prolong the lease by an additional years. Comparable flats in Anlaby with 100 year plus lease were worth £275,000. The mid-range ground rent payable was £65 billed every twelve months. The lease concluded on 14 November 2093. Having 68 years outstanding we approximated the compensation to the landlord to extend the lease to be within £12,400 and £14,200 exclusive of fees.
Last Autumn we were phoned by Dr Seth James , who moved into a one bedroom flat in Anlaby in July 2011. We are asked if we could estimate the compensation to the landlord could be for a 90 year lease extension. Similar properties in Anlaby with a long lease were worth £208,600. The mid-range ground rent payable was £60 billed annually. The lease ran out on 20 May 2082. Having 57 years remaining we estimated the compensation to the landlord for the lease extension to be between £30,400 and £35,200 plus legals.