With a long leasehold property in Camborne, you are in fact renting it for a certain period of time. In recent years flat leases typically tend to be for 99 years or 125. Even though this may appear like a long period of time, you may consider a lease extension sooner as opposed to later. The general rule is that the shorter the lease is the cost of extending the lease gets disproportionately greater notably once there are less than 80 years left. Anyone in Camborne with a lease drawing near to 81 years remaining should seriously think of extending it without delay. Once the lease term has fewer than 80 years left, under the relevant statute the freeholder is entitled to calculate and levy a larger amount, based on a technical computation, strangely termed as “marriage value” which is due.
Leasehold residencies in Camborne with in excess of 100 years outstanding on the lease are often 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 to be gained by buying the reversionary interest unless savings on ground rent and estate charges justify 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. |
| Birmingham Midshires | Minimum 70 years from the date of the mortgage. |
| Lloyds TSB Scotland | 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 |
| 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 increased control over the value of your Camborne leasehold, as your property will be more valuable and saleable in terms of lease length should you decide to sell. The lawyers that we work with have a in-depth market knowledge handling many hundreds of lease extensions or freehold purchase transactions.
Jonathan owned a studio flat in Camborne on the market with a lease of a few days over sixty years remaining. Jonathan informally spoke with his freeholder being a well known London-based freehold company and enquired on a premium to extend the lease. The freeholder indicated a willingness to grant an extension taking the lease to 125 years subject to a new rent at the outset set at £150 per annum and doubled every twenty five years thereafter. No ground rent would be payable on a lease extension were Jonathan to exercise his statutory right. Jonathan obtained expert advice and was able to make a more informed judgement and handle with the matter and sell the flat.
Last Christmas we were called by Mr and Mrs. K Hernández , who was assigned a lease of a studio apartment in Camborne in March 2002. The dilemma was if we could estimate the compensation to the landlord would be to extend the lease by ninety years. Similar properties in Camborne with an extended lease were in the region of £265,000. The average amount of ground rent was £55 billed per annum. The lease expiry date was on 1 September 2099. Having 74 years as a residual term we estimated the compensation to the landlord to extend the lease to be between £9,500 and £11,000 plus fees.
Last Winter we were e-mailed by Ms Amber Green , who owned a one bedroom flat in Camborne in June 2006. We are asked if we could estimate the premium could be to extend the lease by ninety years. Comparable residencies in Camborne with an extended lease were worth £166,400. The mid-range amount of ground rent was £60 billed quarterly. The lease elapsed on 3 October 2079. Considering the 54 years as a residual term we estimated the compensation to the landlord to extend the lease to be within £32,300 and £37,400 plus legals.