Cleator Moor leases on domestic properties are gradually losing value. Where your lease has approximately 90 years unexpired, you should start thinking about a lease extension. 80 years is a significant number: when the unexpired term of a lease drops below this level then you begin incurring an additional element called marriage value. Leasehold owners in Cleator Moor will mostly qualify for a lease extension; however a solicitor will confirm if you qualify. In certain circumstances you may not qualify. There are also strict deadlines and steps to follow once the process has started so it’s wise to be guided by a lawyer during the process.
It is generally accepted that a property with in excess of one hundred years remaining is worth roughly the equivalent as a freehold. Where an additional ninety years added to all but the shortest lease, the residence will be worth the same as a freehold for decades to come.
| 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. |
| 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. |
| 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. |
| Yorkshire Building Society | 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. |
Engaging our service gives you better control over the value of your Cleator Moor leasehold, as your property will be more valuable and marketable in respect of lease length should you decide to sell. The conveyancers that we work with have a in-depth market knowledge handling many hundreds of lease extensions or freehold purchase transactions.
14 months ago Kian, started to get close to the 80-year threshold with the lease on his garden flat in Cleator Moor. Having purchased his property two decades ago, the length of the lease was of little bearing. Luckily, he noticed he needed to take steps soon on Extending the lease. Kian was able to extend his lease just ahead of time last August. Kian and the landlord subsequently settled on the final figure of £6,000 . If he failed to meet the deadline, the price would have gone up by a minimum £1,075.
In 2014 we were e-mailed by Mr and Mrs. V Bertrand who, having acquired a ground floor apartment in Cleator Moor in November 2009. We are asked if we could estimate the compensation to the landlord would likely be for a 90 year lease extension. Comparative homes in Cleator Moor with 100 year plus lease were worth £191,400. The average amount of ground rent was £55 billed every twelve months. The lease terminated on 13 January 2079. Having 54 years as a residual term we estimated the premium to the freeholder to extend the lease to be between £34,200 and £39,600 plus fees.
In 2009 we were called by Mr Kai Hall who, having took over the lease of a basement flat in Cleator Moor in March 2005. The dilemma was if we could shed any light on how much (roughly) compensation to the landlord would be for a 90 year extension to my lease. Comparable premises in Cleator Moor with 100 year plus lease were worth £295,000. The average amount of ground rent was £45 collected annually. The lease finished on 12 July 2099. Considering the 74 years as a residual term we calculated the premium to the freeholder to extend the lease to be between £8,600 and £9,800 plus fees.