With a long leasehold property in Blackburn, you are actually purchasing a right to live in a property for a prescribed time frame. These days flat leases typically tend to be for 99 years or 125. Many leasehold owners are unconcerned as this seems like a lengthy period of time, you may consider extending the lease sooner as opposed to later. The general rule is that the shorter the number of years is the cost of extending the lease increases markedly especially once there are fewer than 80 years remaining. Anyone in Blackburn with a lease drawing near to 81 years left should seriously consider extending it sooner rather than later. When the lease term has under 80 years outstanding, under the current statute the freeholder is entitled to calculate and levy a greater amount, assessed on a technical calculation, strangely termed as “marriage value” which is due.
Leasehold residencies in Blackburn with more than 100 years outstanding on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your premises. In such situations there is often little upside in purchasing the reversionary interest unless savings on ground rent and estate charges warrant it.
| Lender | Requirement |
|---|---|
| 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. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
| National Westminster Bank | Mortgage term plus 30 years. For Shared Ownership, the remaining term of the lease must be at least 75 years plus the term of the mortgage at the outset of the mortgage. |
| TSB | Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption. |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
Using our service gives you increased control over the value of your Blackburn leasehold, as your property will be more valuable and saleable in relation to the lease length should you decide to sell. The conveyancing solicitors that we work with are well versed in the legislation handling many hundreds of lease extensions or freehold purchase transactions.
Off the back of protracted correspondence with the freeholder of her basement apartment in Blackburn, Maisie initiated the lease extension process as the 80 year mark was quickly approaching. The lease extension was concluded in February 2008. The freeholder’s charges were kept to an absolute minimum.
Mr and Mrs. T Morris moved into a newly refurbished apartment in Blackburn in August 2002. The question was if we could shed any light on how much (approximately) premium could be to prolong the lease by a further 90 years. Comparable premises in Blackburn with a long lease were worth £176,200. The mid-range amount of ground rent was £65 invoiced annually. The lease expired on 28 September 2082. Taking into account 56 years unexpired we approximated the premium to the landlord for the lease extension to be between £29,500 and £34,000 plus professional charges.
Dr D Kelly purchased a purpose-built apartment in Blackburn in October 2007. We are asked if we could shed any light on how much (roughly) price would likely be to prolong the lease by an additional years. Identical flats in Blackburn with a long lease were in the region of £237,600. The average ground rent payable was £45 invoiced quarterly. The lease came to a finish in 2093. Given that there were 67 years outstanding we calculated the premium to the freeholder to extend the lease to be between £11,400 and £13,200 exclusive of professional charges.