On the balance of probabilities where you own a flat in Callington you actually own a long leasehold interest over your property
It is generally accepted that a residential leasehold with over 100 years unexpired lease term is worth roughly the same as a freehold. Where an further 90 years added to all but the shortest lease, the premises will be worth the same as a freehold for many years ahead.
| Lender | Requirement |
|---|---|
| Bank of Scotland | Minimum 70 years from the date of the mortgage. |
| Birmingham Midshires | Minimum 70 years from the date of the mortgage. |
| 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. |
| Skipton Building Society | 85 years from the date of completion of the mortgage For Buy to Let cases: - lettings must not breach any of the lessee’s covenants; and - consent of the lessor to lettings must be obtained if necessary |
Lease extensions in Callington can be a difficult process. We recommend you secure professional help from a conveyancer and valuer well versed in the legislation and lease extension process.
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 Callington lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Aiden was the the leasehold proprietor of a 2 bedroom apartment in Callington on the market with a lease of just over sixty years unexpired. Aiden on an informal basis spoke with his freeholder a well known London-based freehold company and enquired on a premium to extend the lease. The freeholder was prepared to grant an extension on non-statutory terms taking the lease to 125 years on the basis of an increased rent to £50 annually. No ground rent would be due on a lease extension were Aiden to invoke his statutory right. Aiden procured expert advice and secured satisfactory resolution informally and sell the flat.
Dr Rebecca Thompson bought a recently refurbished apartment in Callington in October 2000. We are asked if we could approximate the compensation to the landlord would be to extend the lease by 90 years. Identical homes in Callington with a long lease were valued about £300,000. The mid-range amount of ground rent was £50 billed yearly. The lease lapsed on 6 September 2102. Taking into account 76 years outstanding we estimated the premium to the landlord to extend the lease to be within £8,600 and £9,800 exclusive of expenses.
Mr and Mrs. R Lambert purchased a studio apartment in Callington in October 1995. We are asked if we could shed any light on how much (roughly) premium would likely be for a 90 year lease extension. Similar properties in Callington with a long lease were valued around £257,800. The average ground rent payable was £65 billed per annum. The lease terminated on 12 April 2091. Given that there were 65 years as a residual term we approximated the premium to the landlord to extend the lease to be between £18,100 and £20,800 not including expenses.