Chances are that if you own a flat in Balby you actually own a long leasehold interest over your property
It is conventional wisdom that a residential leasehold with over one hundred years unexpired lease term is worth approximately the equivalent as a freehold. Where an additional ninety years added to any lease with more than 30 years left, the premises will be worth the same as a freehold for many years ahead.
| Lender | Requirement |
|---|---|
| Chelsea 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. |
| 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. |
| 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. |
| 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. |
Lease extensions in Balby 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 procuring Balby lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Last October Connor, came precariously near to the eighty-year threshold with the lease on his basement apartment in Balby. Having purchased his property two decades ago, the lease term was of no importance. Thankfully, he became aware that he needed to take steps soon on a lease extension. Connor was able to extend his lease just ahead of time last August. Connor and the freeholder via the managing agents in the end settled on the final figure of £5,500 . If he had missed the deadline, the premium would have escalated by at least £925.
In 2009 we were e-mailed by Ms Imogen Mercier who, having was assigned a lease of a newly refurbished apartment in Balby in February 2004. The dilemma was if we could estimate the compensation to the landlord would likely be to extend the lease by a further 90 years. Comparable residencies in Balby with an extended lease were in the region of £203,200. The mid-range ground rent payable was £65 collected quarterly. The lease ran out in 2087. Having 61 years remaining we calculated the premium to the landlord for the lease extension to be between £19,000 and £22,000 exclusive of expenses.
Mr and Mrs. B Moore was assigned a lease of a first floor apartment in Balby in October 2004. The dilemma was if we could estimate the premium would likely be for a 90 year lease extension. Comparable homes in Balby with a long lease were worth £260,000. The average ground rent payable was £50 invoiced every twelve months. The lease elapsed on 7 July 2098. Taking into account 72 years left we estimated the compensation to the freeholder for the lease extension to be within £9,500 and £11,000 not including expenses.