Owning a flat usually means owning a lease of the property, which has a set term of years. your lease will ordinarily be granted for a fixed period of time , usually 99 or 125 years, although we have witnessed longer and shorter terms in Belton. Inevitably, the length of lease remaining shortens over time. This is often ignored and only raises itself as an issue when the property needs to be disposed of or re-mortgaged. The shorter the lease the lower the value of the property and the more expensive it will be to extend the lease. Eligible long lease owners in Belton have the legal entitlement to extend the lease for a further 90 years in accordance with the 1993 Leasehold Reform Act. Do give careful attention before putting off your Belton lease extension. Holding off that expense now simply increases the price you will eventually incur to extend your lease
It is conventional wisdom that a property with in excess of 100 years remaining is worth roughly the same as a freehold. Where an further ninety years added to all but the shortest lease, the property will be worth the same as a freehold for many years in the future.
| Lender | Requirement |
|---|---|
| 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. |
| Halifax | Minimum 70 years from the date of the mortgage. |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
| 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 Belton can be a difficult process. We recommend you procure guidance from a lawyer and valuer with experience in this area.
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 Belton lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Oliver was the the leasehold proprietor of a conversion apartment in Belton being marketed with a lease of just over 59 years remaining. Oliver on an informal basis approached his freeholder being a well known local-based freehold company and enquired on a premium to extend the lease. The freeholder indicated a willingness to grant an extension taking the lease to 125 years on the basis of a new rent to start with set at £200 per annum and doubled every twenty five years thereafter. No ground rent would be due on a lease extension were Oliver to exercise his statutory right. Oliver obtained expert legal guidance and was able to make an informed decision and handle with the matter and ending up with a market value flat.
In 2011 we were phoned by Mr and Mrs. B Moreau who, having completed a basement apartment in Belton in February 2011. The dilemma was if we could shed any light on how much (approximately) compensation to the landlord would likely be to extend the lease by 90 years. Comparative flats in Belton with 100 year plus lease were in the region of £191,400. The average amount of ground rent was £55 collected per annum. The lease end date was in 2080. Considering the 54 years remaining we estimated the premium to the landlord for the lease extension to be within £34,200 and £39,600 exclusive of costs.
Mr and Mrs. W Petit took over the lease of a garden apartment in Belton in February 2004. The question was if we could shed any light on how much (approximately) compensation to the landlord would likely be to extend the lease by an additional years. Identical flats in Belton with 100 year plus lease were in the region of £295,000. The average ground rent payable was £45 billed every twelve months. The lease finished on 3 November 2100. Having 74 years left we calculated the premium to the landlord for the lease extension to be between £8,600 and £9,800 not including costs.