The only way is down when it comes to Carlisle lease terms. Carlisle flats that have a lease term fewer than 80 years will reduce in market price even faster, and the cost to extend your lease will go up.
Leasehold premises in Carlisle with over one hundred years left on the lease are sometimes referred to as ‘virtual freehold’. This is where the lease value the same as a freehold interest in your premises. In such circumstances there is often little upside in purchasing 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. |
| Halifax | Minimum 70 years from the date of the mortgage. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
Engaging our service gives you increased control over the value of your Carlisle leasehold, as your property will be more valuable and marketable in relation to the lease length should you want to sell. The lawyers that we work with are well versed in the legislation handling many hundreds of lease extensions or freehold purchase transactions.
Archie owned a conversion flat in Carlisle being sold with a lease of a few days over fifty eight years left. Archie on an informal basis approached his landlord a well known local-based freehold company for a lease extension. The freeholder was prepared to grant an extension on non-statutory terms taking the lease to 125 years on the basis of a new rent to start with set at £200 per annum and doubled every twenty five years thereafter. No ground rent would be due on a lease extension were Archie to invoke his statutory right. Archie obtained expert advice and secured satisfactory deal without resorting to tribunal and sell the property.
Ms H Green took over the lease of a studio apartment in Carlisle in May 2009. We are asked if we could approximate the price would likely be for a 90 year lease extension. Similar properties in Carlisle with an extended lease were worth £174,200. The average amount of ground rent was £55 invoiced monthly. The lease came to a finish in 2076. Given that there were 51 years left we approximated the premium to the freeholder for the lease extension to be between £31,400 and £36,200 not including expenses.
Dr R Green was assigned a lease of a one bedroom apartment in Carlisle in August 2010. We are asked if we could estimate the premium could be to prolong the lease by an additional years. Similar premises in Carlisle with an extended lease were worth £285,000. The average ground rent payable was £45 billed per annum. The lease ran out in 2096. Taking into account 71 years outstanding we estimated the compensation to the landlord to extend the lease to be within £12,400 and £14,200 plus costs.