With a long leasehold property in Askam In Furness, you are actually purchasing a right to reside in a property for a set period of time. In recent years flat leases are usually granted for 99 years or 125. Many leasehold owners become complacent as this seems like a lengthy period of time, you may think about extending the lease sooner as opposed to later. Accepted thinking is that the shorter the lease is the cost of extending the lease gets disproportionately more expensive particularly when there are fewer than 80 years remaining. Leasehold owners in Askam In Furness with a lease nearing 81 years remaining should seriously consider extending it without delay. When the lease term has under eighty years remaining, under the relevant statute the landlord can calculate and demand a greater premium, assessed on a technical computation, known as “marriage value” which is due.
It is conventional wisdom that a property with more than 100 years remaining is worth approximately the same as a freehold. Where an additional 90 years added to all but the shortest lease, the residence will be equivalent in value to a freehold for many years ahead.
| Lender | Requirement |
|---|---|
| Bank of Scotland | Minimum 70 years from the date of the mortgage. |
| Barnsley Building Society | 60 years from the date of the mortgage application subject to 35 years remaining at the end of the mortgage term. |
| Santander | If the property is leasehold, the remaining unexpired lease term at the end of the new mortgage term must be at least 50 years where any part of the mortgage is on Interest Only and 30 years if all loan parts are on Capital Repayment and Interest. You must report the unexpired lease term to us and await our instructions if:
|
| 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 Askam In Furness can be a difficult process. We recommend you procure professional help from a conveyancing solicitor 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 a wealth of experience procuring Askam In Furness lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
After unsuccessful discussions with the freeholder of her two bedroom apartment in Askam In Furness, Mia initiated the lease extension process just as the lease was nearing the critical 80-year deadline. The legal work was finalised in July 2011. The freeholder’s costs were kept to an absolute minimum.
Last month we were e-mailed by Mr and Mrs. J Rivera , who purchased a ground floor flat in Askam In Furness in February 1997. The question was if we could approximate the price could be for a ninety year extension to my lease. Comparable homes in Askam In Furness with 100 year plus lease were worth £208,600. The mid-range ground rent payable was £60 invoiced annually. The lease end date was in 2083. Taking into account 57 years unexpired we approximated the compensation to the freeholder to extend the lease to be between £30,400 and £35,200 plus costs.
In 2014 we were contacted by Dr E Cox who, having was assigned a lease of a purpose-built flat in Askam In Furness in April 1999. The question was if we could estimate the price would likely be to prolong the lease by an additional years. Comparable premises in Askam In Furness with a long lease were in the region of £200,000. The mid-range amount of ground rent was £50 collected annually. The lease lapsed on 25 August 2103. Considering the 77 years left we estimated the compensation to the freeholder for the lease extension to be between £8,600 and £9,800 not including professional charges.