Arley Lease Extension - Free Consultation

Get a Quote

Before you progress with your lease extension in Arley
Get a quote from one of our lease extension experts with over 20 years experience.

Let them guide you for FREE on the various options available to you.

It may end up saving you thousands.

Why you should start your Arley lease extension

Why you should start your Arley lease extension today:

A Arley leasehold property depreciates with the years remaining on the lease.

Chances are that where you own a flat in Arley you actually own a long leasehold interest over your property

An extended lease has roughly the same value as a freehold

It is generally accepted that a property with over 100 years unexpired lease term is worth approximately the equivalent as a freehold. Where an further ninety years added to any lease with more than 30 years unexpired, the residence will be worth the same as a freehold for many years ahead.

Banks and Building Societies may decide not to lend on a short lease

Mortgage lenders have specific criteria when lending funds charged on leasehold homes. Some will simply refrain from lending at all once an unexpired lease term goes below a specified unexpired lease term. Many Lending institutions will not regard property with a remaining below seventy years suitable security. In addition to impacting your ability to sell, it is also relevant where you are seeking to remortgage your Arley home.

Lender Requirement
Bank of Scotland 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.
Lloyds TSB Scotland Minimum 70 years from the date of the mortgage.
National Westminster Bank Mortgage term plus 30 years.

For Shared Ownership, the remaining term of the lease must also be not less than 75 years at the outset 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.

What makes us experts in Arley lease extensions?

Irrespective of whether you are a tenant or a landlord in Arley,the lease extension solicitors that we work with will always be happy to discuss any residential leasehold matters and offer you the benefit of their in-depth market knowledge and the close ties they enjoy with Arley valuers.

Arley Lease Extension Case Studies:

Naomi, Arley, Warwickshire,

In the wake of eight months of protracted discussions with the landlord of her leasehold flat in Arley, Naomi started the lease extension process just as her lease was approaching the critical 80-year mark. The lease extension was concluded in April 2015. The landlord’s charges were negotiated to slightly above five hundred GBP.

Arley case:

Mr Daniel James completed a recently refurbished flat in Arley in July 1999. The question was if we could shed any light on how much (approximately) premium would be to prolong the lease by 90 years. Similar flats in Arley with an extended lease were worth £193,400. The average ground rent payable was £65 billed yearly. The lease terminated on 26 June 2084. Taking into account 59 years as a residual term we estimated the premium to the freeholder to extend the lease to be between £21,900 and £25,200 plus fees.

Arley case:

In 2009 we were phoned by Mrs Y Patel who, having acquired a purpose-built flat in Arley in May 2002. The dilemma was if we could approximate the compensation to the landlord would be for a ninety year lease extension. Comparable flats in Arley with an extended lease were worth £250,000. The mid-range amount of ground rent was £50 invoiced yearly. The lease came to a finish on 26 January 2095. Given that there were 70 years unexpired we calculated the compensation to the landlord to extend the lease to be between £9,500 and £11,000 plus expenses.