Camborne leases on residential properties are gradually losing value. if your lease has approximately 90 years left, you should start considering the need for a lease extension. It is important to recognise that it is that it is desirable for a lease extension to take place before the term of the existing lease drops lower than 80 years - otherwise a higher premium will be payable. Flat owners in Camborne will usually be legally entitled to a lease extension; however a solicitor should be able confirm your eligibility. In certain circumstances you may not qualify. There are also strict timetables and procedures to comply with once the process has commenced so it’s sensible to be guided by a lawyer during the process.
It is conventional wisdom that a property with in excess of 100 years unexpired lease term is worth roughly the equivalent as a freehold. Where an further 90 years added to all but the shortest lease, the residence will be equivalent in value to a freehold for decades to come.
| Lender | Requirement |
|---|---|
| Accord Mortgages | 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. |
| Birmingham Midshires | Minimum 70 years from the date of the mortgage. |
| Leeds Building Society | 85 years remaining from the start 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 |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
Retaining our service will provide you better control over the value of your Camborne leasehold, as your property will be more valuable and marketable in respect of lease length should you want to sell. The conveyancing solicitors that we work with are well versed in the legislation handling many hundreds of lease extensions or freehold purchase transactions.
Off the back of unsuccessful negotiations with the landlord of her leasehold flat in Camborne, Lucy started the lease extension process just as her lease was nearing the critical eighty-year deadline. The legal work was concluded in July 2015. The landlord’s charges were kept to an absolute minimum.
Last Summer we were contacted by Mr C Taylor , who took over the lease of a garden apartment in Camborne in November 2007. We are asked if we could estimate the price could be for a ninety year lease extension. Comparable properties in Camborne with an extended lease were in the region of £254,200. The average amount of ground rent was £60 collected yearly. The lease concluded on 3 October 2076. Given that there were 51 years unexpired we estimated the compensation to the landlord for the lease extension to be within £43,700 and £50,600 exclusive of legals.
Last Christmas we were contacted by Mr and Mrs. Y Nguyen , who purchased a purpose-built apartment in Camborne in October 1999. The dilemma was if we could approximate the compensation to the landlord could be for a 90 year extension to my lease. Comparative residencies in Camborne with an extended lease were valued about £210,600. The mid-range ground rent payable was £45 invoiced annually. The lease lapsed on 23 November 2087. Having 62 years outstanding we calculated the premium to the landlord to extend the lease to be within £18,100 and £20,800 plus expenses.