With a residential leasehold property in Barnetby le Wold, you effectively rent it for a certain amount of time. Modern 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 consider a lease extension sooner rather than later. The general rule is that the shorter the number of years is the cost of extending the lease becomes disproportionately more expensive particularly when there are fewer than eighty years remaining. Residents in Barnetby le Wold with a lease drawing near to 81 years left should seriously think of extending it as soon as possible. When a lease has less than eighty years remaining, under the current statute the freeholder is entitled to calculate and charge a larger premium, based on a technical calculation, strangely termed as “marriage value” which is payable.
Leasehold properties in Barnetby le Wold with more than 100 years remaining on the lease are sometimes referred to as ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your home. In such circumstances there is often little upside in buying the freehold unless savings on ground rent and service charges merit it.
| Lender | Requirement |
|---|---|
| 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. |
| 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. |
| 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. |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
Using our service will provide you enhanced control over the value of your Barnetby le Wold leasehold, as your property will be more valuable and marketable in respect of lease length should you want to sell. The conveyancers that we work with have a wealth of experience of handling many hundreds of lease extensions or freehold purchase transactions.
Following protracted discussions with the freeholder of her two bedroom apartment in Barnetby le Wold, Jodie initiated the lease extension process as the eighty year mark was quickly advancing. The transaction was finalised in May 2007. The freeholder’s costs were negotiated to a tad over 700 GBP.
Last February we were approach by Ms Tia Davies , who took over the lease of a garden apartment in Barnetby le Wold in April 2007. The question was if we could approximate the price would likely be to prolong the lease by ninety years. Comparable residencies in Barnetby le Wold with an extended lease were worth £257,800. The mid-range amount of ground rent was £65 collected annually. The lease finished on 26 February 2090. Considering the 65 years left we approximated the premium to the landlord to extend the lease to be between £18,100 and £20,800 plus costs.
Last Winter we were approach by Dr F Alexander , who was assigned a lease of a purpose-built apartment in Barnetby le Wold in October 2003. We are asked if we could estimate the premium would be for a ninety year extension to my lease. Similar residencies in Barnetby le Wold with an extended lease were worth £191,400. The mid-range amount of ground rent was £55 collected every twelve months. The lease ran out in 2079. Taking into account 54 years remaining we approximated the premium to the landlord to extend the lease to be within £34,200 and £39,600 plus legals.