Canton leases on domestic deteriorating in value. Where your lease has about ninety years left, you should start considering the need for a lease extension. It is important to recognise that it is that it is financially advisable for a lease extension to take place before the term of the current lease dips below eighty years - otherwise a higher amount will be due. Flat owners in Canton will mostly qualify for a lease extension; however a solicitor will check your eligibility. In some cases you may not be entitled. There are also strict timetables and formalities to comply with once the process has commenced so it’s sensible to be guided by a lawyer during the process.
Leasehold premises in Canton with in excess of 100 years left on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your premises. In such situations there is often little upside in purchasing the freehold unless savings on ground rent and maintenance charges merit it.
| Lender | Requirement |
|---|---|
| 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. |
| 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 |
| TSB | Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption. |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
Irrespective of whether you are a tenant or a freeholder in Canton,the lease extension experts that we work with will always be happy to discuss any residential leasehold matters and offer you the benefit of their in-depth market knowledge and the close ties they enjoy with Canton valuers.
Theo was the the leasehold owner of a high value flat in Canton on the market with a lease of a little over fifty eight years unexpired. Theo on an informal basis contacted his freeholder being a well known Bristol-based freehold company for a lease extension. The landlord was keen to give an extension on non-statutory terms taking the lease to 125 years subject to a rise in the rent to £125 annually. Ordinarily, ground rent would not be payable on a lease extension were Theo to exercise his statutory right. Theo obtained expert legal guidance and secured an acceptable resolution informally and ending up with a market value flat.
Last Summer we were approach by Dr Kai Mercier , who was assigned a lease of a one bedroom apartment in Canton in February 2002. We are asked if we could approximate the price would likely be for a ninety year extension to my lease. Comparative premises in Canton with an extended lease were valued around £200,000. The mid-range amount of ground rent was £50 collected quarterly. The lease finished on 27 August 2102. Considering the 77 years left we calculated the compensation to the freeholder to extend the lease to be within £8,600 and £9,800 plus costs.
Ms Rosie Walker purchased a studio apartment in Canton in October 1996. The question was if we could approximate the premium could be for a ninety year extension to my lease. Comparative homes in Canton with a long lease were in the region of £260,200. The average amount of ground rent was £65 collected quarterly. The lease elapsed on 3 June 2091. Given that there were 66 years left we estimated the premium to the freeholder to extend the lease to be within £16,200 and £18,600 exclusive of fees.