The closer a domestic lease in Bulkington nears to zero years unexpired, the the greater the reduction in the value of the property. If the lease has, beyond 125 years remaining then this decrease may be of little impact however there will become a stage when a lease has fewer than eighty years remaining as part of the premium you will incur is what is termed as a marriage value. This could be significant. It is the primary logic behind why you should extend the lease without delay. Most flat owners in Bulkington will meet the qualifying criteria; however a conveyancer should be able to advise if you qualify for a lease extension. In limited situations you may not qualify, the most frequent reason being that you have not been the owner of the property for two years.
Leasehold residencies in Bulkington with more than 100 years unexpired on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your property. In such situations there is often little to be gained by purchasing the reversionary interest unless savings on ground rent and service charges warrant it.
| 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. |
| Santander | You must report the unexpired lease term to us and await our instructions if: 1. the unexpired term assumed by our valuer is between 55 and 82 years, but the actual unexpired term differs by more than one year (whether longer or shorter); or 2. the unexpired term assumed by our valuer is more than 82 years but the actual unexpired term is less than 82 years; or 3. no valuation report is provided However, we will not accept a lease where on expiry of the mortgage: (i) less than 50 years remain and all or part of the loan is repaid on an interest-only basis: or (ii) less than 30 years remain and the loan is repaid on a capital and interest basis We will accept a lease that has been extended under the provisions of the Leasehold Reform Act 1993 provided statutory compensation would be available to the leaseholder. |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
Lease extensions in Bulkington can be a difficult process. We recommend you obtain professional help from a conveyancer and valuer with experience in lease extensions.
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 a wealth of experience dealing with Bulkington lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
William owned a high value apartment in Bulkington being sold with a lease of a little over 61 years left. William on an informal basis contacted his landlord a well known Manchester-based freehold company and enquired on a premium to extend the lease. The landlord was keen to agree an extension on non-statutory terms taking the lease to 125 years on the basis of an increased rent to £200 per annum. Ordinarily, ground rent would not be due on a lease extension were William to invoke his statutory right. William procured expert legal guidance and secured satisfactory deal without going to tribunal and readily saleable.
In 2013 we were called by Mrs Sian González who, having moved into a basement flat in Bulkington in January 2007. The dilemma was if we could shed any light on how much (approximately) premium would likely be for a 90 year lease extension. Identical flats in Bulkington with an extended lease were worth £206,200. The mid-range amount of ground rent was £55 collected quarterly. The lease lapsed in 2081. Taking into account 56 years remaining we approximated the premium to the landlord to extend the lease to be between £31,400 and £36,200 exclusive of legals.
In 2011 we were contacted by Dr Jack Nguyen who, having took over the lease of a purpose-built flat in Bulkington in May 2006. We are asked if we could estimate the price would be for a 90 year lease extension. Similar homes in Bulkington with a long lease were in the region of £300,000. The mid-range amount of ground rent was £50 collected quarterly. The lease end date was in 2101. Having 76 years remaining we approximated the compensation to the freeholder to extend the lease to be between £8,600 and £9,800 exclusive of legals.