Chances are that if you own a flat in Barton le Willows you actually own a long leasehold interest over your property
It is generally accepted that a property with over 100 years unexpired lease term is worth approximately the same as a freehold. Where an additional 90 years added to any lease with more than 35 years remaining, the premises will be worth the same as a freehold for many years ahead.
| Lender | Requirement |
|---|---|
| Accord Mortgages | 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. |
| Barclays plc | Leases with less than 70 years at the commencement of the mortgage are not acceptable. 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; |
| Barnsley Building Society | 60 years from the date of the mortgage application subject to 35 years remaining at the end of the mortgage term. |
| 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. |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
The lawyers that we work with undertake Barton le Willows 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 conveyancing solicitor we work with provide it.
14 months ago Reuben, started to get near to the 80-year mark with the lease on his studio flat in Barton le Willows. Having purchased his flat twenty years ago, the unexpired term was of little interest. by good luck, he became aware that he would imminently be paying an inflated amount for a lease extension. Reuben was able to extend his lease at the eleventh hour in April. Reuben and the landlord subsequently settled on the final figure of £6,000 . If he failed to meet the deadline, the amount would have become more exhorbitant by a minimum £1,125.
Mr and Mrs. O Wilson was assigned a lease of a ground floor apartment in Barton le Willows in January 1998. The dilemma was if we could shed any light on how much (roughly) premium would likely be for a ninety year lease extension. Comparable homes in Barton le Willows with 100 year plus lease were valued about £166,400. The mid-range ground rent payable was £60 collected per annum. The lease concluded in 2080. Having 54 years unexpired we approximated the compensation to the freeholder for the lease extension to be within £32,300 and £37,400 not including legals.
Mr and Mrs. G Bennett purchased a one bedroom apartment in Barton le Willows in April 1998. The question was if we could estimate the price would likely be for a ninety year extension to my lease. Comparative premises in Barton le Willows with a long lease were valued around £227,800. The mid-range amount of ground rent was £45 collected yearly. The lease concluded in 2091. Given that there were 65 years left we estimated the premium to the freeholder to extend the lease to be within £13,300 and £15,400 exclusive of legals.