Brandesburton leases on domestic deteriorating in value. Where your lease has about 90 years remaining, you should start thinking about a lease extension. It is important to recognise that it is that it is desirable for a lease extension to be in place before the term of the existing lease falls under eighty years - otherwise a higher amount will be due. Leasehold owners in Brandesburton will usually be legally entitled to a lease extension; however It would be wise to check with a lawyer to confirm if you qualify. In certain situations you may not qualify. There are also strict timetables and formalities to follow once the process has started so it’s best to be guided by a conveyancer during the process.
Leasehold properties in Brandesburton with over one hundred years remaining on the lease are sometimes referred to as ‘virtual freehold’. This is where the lease value the same as a freehold interest in your property. In such situations there is often little upside in buying the freehold unless savings on ground rent and estate charges justify it.
| Lender | Requirement |
|---|---|
| Barclays plc | Leases with less than 70 years at the commencement of the mortgage should be declined (see exception below). Leases with greater than 70 years but fewer than 85 years remaining must be referred to issuing office. 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; |
| 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. |
| Leeds Building Society | 85 years remaining from the start 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. |
| 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 Brandesburton can be a difficult process. We recommend you procure guidance from a lawyer and surveyor 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 dealing with Brandesburton lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Half a year ago Liam, started to get near to the 80-year mark with the lease on his first floor flat in Brandesburton. In buying his home two decades ago, the lease term was of little relevance. Fortunately, it dawned on him that he would soon be paying an escalated premium for a lease extension. Liam arranged for a lease extension at the eleventh hour in August. Liam and the landlord in the end settled on the final figure of £5,000 . If the lease had dipped lower than eighty years, the price would have increased by a minimum £1,125.
Dr Dexter Mason owned a purpose-built apartment in Brandesburton in February 2001. We are asked if we could shed any light on how much (approximately) premium would likely be for a ninety year lease extension. Comparable flats in Brandesburton with a long lease were valued about £275,000. The average amount of ground rent was £65 billed annually. The lease finished on 1 September 2093. Given that there were 68 years as a residual term we estimated the compensation to the freeholder for the lease extension to be between £12,400 and £14,200 exclusive of costs.
In 2013 we were called by Mr Eliot Bertrand who, having owned a one bedroom flat in Brandesburton in September 2003. The question was if we could shed any light on how much (roughly) price could be to prolong the lease by a further 90 years. Similar residencies in Brandesburton with 100 year plus lease were valued about £208,600. The mid-range amount of ground rent was £60 invoiced yearly. The lease lapsed in 2082. Having 57 years unexpired we approximated the compensation to the landlord for the lease extension to be between £30,400 and £35,200 plus fees.