There is no doubt about it a leasehold flat or house in Clitheroe is a wasting asset as a result of the shortening lease. Where the residual term has, in excess of 125 years remaining then this decrease may be negligible however there will become a point in time when a lease has under than 80 years remaining as part of the premium you will incur is what is known as a marriage value. This could be significant. It is the primary logic behind why you should extend the lease without delay. The majority of flat owners in Clitheroe will qualify for this right; that being said a conveyancer can advise if you are eligible to extend your lease. In certain situations you may not qualify, the most common reason being that you have not been the owner of the property for two years.
Leasehold premises in Clitheroe with more than 100 years outstanding on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your property. In such circumstances there is often little upside in purchasing the freehold unless savings on ground rent and maintenance charges merit it.
| Lender | Requirement |
|---|---|
| Halifax | Minimum 70 years from the date of the mortgage. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
| National Westminster Bank | Mortgage term plus 30 years. For Shared Ownership, the remaining term of the lease must be at least 30 years plus the term of the mortgage at the outset of the mortgage. |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
Regardless of whether you are a tenant or a landlord in Clitheroe,the lease extension experts that we work with will always be prepared to discuss any residential leasehold matters and offer you the benefit of their experience and the close ties they enjoy with Clitheroe valuers.
After unsuccessful negotiations with the freeholder of her basement apartment in Clitheroe, Louise started the lease extension process just as the lease was coming close to the all-important eighty-year mark. The legal work was finalised in April 2008. The freeholder’s fees were restricted to approximately 450 GBP.
In 2011 we were called by Mr and Mrs. R Roberts who, having acquired a one bedroom flat in Clitheroe in August 2009. The question was if we could shed any light on how much (roughly) premium would likely be for a ninety year extension to my lease. Comparative premises in Clitheroe with an extended lease were worth £237,600. The mid-range ground rent payable was £45 billed yearly. The lease expiry date was on 4 June 2093. Taking into account 67 years left we approximated the compensation to the landlord for the lease extension to be between £11,400 and £13,200 not including expenses.
Ms Amelia Gunderson acquired a ground floor apartment in Clitheroe in April 1997. The question was if we could shed any light on how much (approximately) premium would be to prolong the lease by a further 90 years. Similar properties in Clitheroe with a long lease were valued about £280,000. The mid-range amount of ground rent was £55 invoiced quarterly. The lease finished in 2104. Considering the 78 years remaining we calculated the compensation to the landlord to extend the lease to be between £13,300 and £15,400 plus professional charges.