Owning a apartment usually means owning a lease of the property, which has a finite term of years. your lease will ordinarily be granted for a fixed period of time , ordinarily 99 or 125 years, although we have come across longer and shorter terms in Bovey Tracey. Inevitably, the length of lease left shortens as time goes by. This may slip by relatively unnoticed when the flat or house has to be sold or refinanced. The fewer the years remaining the less it is worth and the more expensive it will be to extend the lease. Qualifying long lease owners in Bovey Tracey have the right to extend the lease for a further ninety years in accordance with statute. You should give due attention before delaying your Bovey Tracey lease extension. Putting off the cost now only increases the price you will eventually incur for a lease extension
It is conventional wisdom that a residential leasehold with in excess of one hundred years remaining is worth approximately the same as a freehold. Where an further ninety years added to all but the shortest lease, the premises will be equivalent in value to a freehold for decades to come.
| Lender | Requirement |
|---|---|
| Bank of Scotland | Minimum 70 years from the date of the mortgage. |
| 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. |
| Halifax | Minimum 70 years from the date of the mortgage. |
| National Westminster Bank | Mortgage term plus 30 years. |
The conveyancers that we work with handle Bovey Tracey 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 conveyancer we work with provide it.
Two years ago Nathaniel, came perilously close to the 80-year mark with the lease on his first floor flat in Bovey Tracey. In buying his home 19 years previously, the unexpired term was of little importance. Fortunately, he became aware that he needed to take action soon on a lease extension. Nathaniel was able to extend his lease just in the nick of time last September. Nathaniel and the landlord in the end settled on an amount of £5,000 . If the lease had fallen below eighty years, the price would have become more costly by at least £900.
Mr and Mrs. H White acquired a studio flat in Bovey Tracey in January 2012. We are asked if we could shed any light on how much (roughly) price could be for a ninety year extension to my lease. Comparative properties in Bovey Tracey with 100 year plus lease were valued about £183,600. The mid-range amount of ground rent was £65 billed monthly. The lease terminated on 13 January 2081. Given that there were 57 years as a residual term we calculated the compensation to the freeholder for the lease extension to be within £28,500 and £33,000 exclusive of costs.
Mr I Roberts was assigned a lease of a basement flat in Bovey Tracey in September 2003. The dilemma was if we could estimate the premium would be to prolong the lease by ninety years. Identical properties in Bovey Tracey with a long lease were in the region of £245,000. The mid-range ground rent payable was £50 invoiced monthly. The lease finished on 24 February 2092. Given that there were 68 years unexpired we calculated the compensation to the landlord to extend the lease to be within £9,500 and £11,000 not including expenses.