Cobham leases on domestic properties are gradually losing value. Where your lease has about ninety years remaining, you should start thinking about a lease extension. Eighty years is a significant number: when the remaining term of a lease drops below this level then you start paying an additional element called marriage value. Leasehold owners in Cobham will mostly be legally entitled to a lease extension; however a solicitor should be able check your eligibility. In some circumstances you may not qualify. There are prescribed timetables and steps to follow once the process has commenced so it’s best to be guided by a conveyancing solicitor during the process.
Leasehold premises in Cobham with more than one hundred years outstanding on the lease are often regarded as a ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your home. In such situations there is often little to be gained by buying the reversionary interest unless savings on ground rent and service charges merit it.
| Lender | Requirement |
|---|---|
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
| Lloyds TSB Scotland | Minimum 70 years from the date of the mortgage. |
| 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. |
| 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. |
Lease extensions in Cobham can be a difficult process. We recommend you obtain professional help from a conveyancer and valuer well versed in the legislation and lease extension process.
We provide you with an expert from a selection of lease extension solicitors, which ensures a targeted and efficient service as you have a dedicated port of call with an individual lawyer. Our lease extension solicitors have a wealth of experience procuring Cobham lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Off the back of lengthy discussions with the landlord of her ground floor apartment in Cobham, Isobel commenced the lease extension process just as her lease was approaching the crucial eighty-year threshold. The lease extension was finalised in November 2013. The landlord’s costs were kept to an absolute minimum.
In 2013 we were contacted by Mr and Mrs. J Flores who, having was assigned a lease of a one bedroom flat in Cobham in June 2002. We are asked if we could estimate the price would likely be for a 90 year extension to my lease. Identical residencies in Cobham with 100 year plus lease were in the region of £265,000. The mid-range ground rent payable was £50 billed per annum. The lease elapsed on 5 October 2098. Taking into account 73 years left we estimated the premium to the freeholder to extend the lease to be within £9,500 and £11,000 plus costs.
In 2010 we were called by Mr F Ali who, having completed a basement apartment in Cobham in May 1998. The question was if we could shed any light on how much (approximately) compensation to the landlord could be to prolong the lease by ninety years. Comparative homes in Cobham with 100 year plus lease were worth £264,000. The mid-range ground rent payable was £60 billed every twelve months. The lease came to a finish in 2078. Given that there were 53 years unexpired we approximated the compensation to the landlord to extend the lease to be between £37,100 and £42,800 not including costs.