The only way is down when it comes to Cherry Willingham lease terms. Cherry Willingham properties that have a residual term lower than 80 years will drop in market price even faster, and the cost of extending your lease will rise.
Leasehold premises in Cherry Willingham with in excess of one hundred years outstanding on the lease are often referred to as ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your premises. In such situations there is often little to be gained by buying the freehold unless savings on ground rent and maintenance charges warrant it.
| Lender | Requirement |
|---|---|
| Barclays plc | Leases with less than 70 years at the commencement of the mortgage are not acceptable. Leases with fewer than 70 years should only be referred to the issuing office where the following scenario applies, as discretion may be applied subject to bank approval: • Property is located in any of the following prestigious developments: Cadogan, Crown, Grosvenor, Howard de Walden, Portman or Wellcome Trust Estates in Central London AND • The value of the property subject to the short remaining term is £500,000 or more AND • The loan to value does not exceed 90% for purchases, 90% like for like re-mortgages, 80% for re-mortgages with any element of capital raising and 80% for existing Barclays mortgage borrowers applying for additional borrowing; |
| 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. |
| TSB | Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption. |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
Irrespective of whether you are a tenant or a landlord in Cherry Willingham,the lease extension solicitors that we work with will always be willing to discuss any residential leasehold matters and offer you the benefit of their experience and the close ties they enjoy with Cherry Willingham valuers.
Subsequent to unsuccessful correspondence with the landlord of her two bedroom apartment in Cherry Willingham, Millie initiated the lease extension process as the 80 year mark was rapidly approaching. The transaction was finalised in April 2010. The freeholder’s fees were kept to an absolute minimum.
Last month we were called by Mr and Mrs. E Ali , who moved into a first floor flat in Cherry Willingham in August 2007. We are asked if we could approximate the price would likely be to prolong the lease by 90 years. Comparative properties in Cherry Willingham with a long lease were in the region of £210,000. The mid-range ground rent payable was £50 billed yearly. The lease expiry date was on 23 November 2106. Given that there were 80 years remaining we approximated the compensation to the landlord for the lease extension to be between £8,600 and £9,800 not including expenses.
Last Spring we were phoned by Mr and Mrs. M Roux , who bought a ground floor apartment in Cherry Willingham in June 2003. The question was if we could approximate the premium could be for a 90 year lease extension. Identical premises in Cherry Willingham with an extended lease were worth £280,000. The mid-range amount of ground rent was £45 invoiced quarterly. The lease ran out on 12 October 2095. Taking into account 69 years unexpired we estimated the premium to the landlord to extend the lease to be between £12,400 and £14,200 exclusive of costs.