Chances are that if you own a flat in Buckfastleigh and Dean you actually own a long leasehold interest over your property
It is generally considered that a property with more than 100 years unexpired lease term is worth approximately the equivalent as a freehold. Where an additional ninety years added to all but the shortest lease, the residence will be equivalent in value to a freehold for many years in the future.
| Lender | Requirement |
|---|---|
| Bank of Scotland | Minimum 70 years from the date of the mortgage. |
| 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. |
| Birmingham Midshires | Minimum 70 years from the date 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. |
The conveyancers that we work with procure Buckfastleigh and Dean 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.
Gabriel owned a studio flat in Buckfastleigh and Dean being sold with a lease of a little over sixty years remaining. Gabriel informally contacted his freeholder a well known London-based freehold company and enquired on a premium to extend the lease. The freeholder was keen to grant an extension on non-statutory terms taking the lease to 125 years subject to an increased rent to £50 per annum. No ground rent would be payable on a lease extension were Gabriel to exercise his statutory right. Gabriel procured expert legal guidance and was able to make a more informed decision and deal with the matter and readily saleable.
Mr and Mrs. M Díaz completed a one bedroom apartment in Buckfastleigh and Dean in November 2002. The question was if we could shed any light on how much (roughly) price would likely be for a 90 year lease extension. Similar flats in Buckfastleigh and Dean with a long lease were worth £240,600. The average ground rent payable was £65 invoiced monthly. The lease lapsed on 16 March 2088. Having 62 years outstanding we calculated the compensation to the landlord to extend the lease to be between £21,900 and £25,200 exclusive of professional charges.
Mr Jamie Moore acquired a one bedroom apartment in Buckfastleigh and Dean in June 2004. We are asked if we could estimate the price could be to prolong the lease by an additional years. Similar residencies in Buckfastleigh and Dean with 100 year plus lease were in the region of £179,200. The average amount of ground rent was £55 billed monthly. The lease came to a finish in 2077. Considering the 51 years left we estimated the compensation to the landlord for the lease extension to be within £31,400 and £36,200 exclusive of professional charges.