Coleshill leases on residential deteriorating in value. Where your lease has approximately ninety years unexpired, you should start considering the need for a lease extension. Eighty years is a significant number: when the remaining term of a lease drops below this level then you begin incurring an additional element called marriage value. Leasehold owners in Coleshill will usually be legally entitled to a lease extension; however a solicitor should be able confirm your eligibility. In some cases you may not be entitled. There are also strict deadlines and procedures to follow once the process is initiated so it’s best to be guided by a conveyancer during the process.
It is conventional wisdom that a property with over one hundred years remaining is worth roughly the equivalent as a freehold. Where an further ninety years added to any lease with more than 30 years unexpired, the premises will be worth the same as a freehold for decades to come.
| Lender | Requirement |
|---|---|
| Birmingham Midshires | Minimum 70 years from the date of the mortgage. |
| 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. |
| Leeds Building Society | 85 years remaining from the start 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. |
Lease extensions in Coleshill can be a difficult process. We recommend you obtain professional help from a conveyancer and valuer with experience in lease extensions.
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 in-depth market knowledge procuring Coleshill lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Ibrahim owned a 2 bedroom flat in Coleshill on the market with a lease of a little over fifty eight years remaining. Ibrahim on an informal basis contacted his freeholder a well known London-based freehold company for a lease extension. The freeholder indicated a willingness to extend the lease to 125 years subject to an increased rent to £50 annually. No ground rent would be payable on a lease extension were Ibrahim to exercise his statutory right. Ibrahim obtained expert advice and secured satisfactory deal without going to tribunal and ending up with a market value flat.
Mrs Alice Ali bought a purpose-built apartment in Coleshill in April 2006. The dilemma was if we could approximate the price would likely be for a 90 year lease extension. Comparative homes in Coleshill with 100 year plus lease were worth £248,000. The mid-range ground rent payable was £65 collected per annum. The lease came to a finish in 2089. Having 63 years left we estimated the compensation to the freeholder to extend the lease to be within £20,000 and £23,000 plus fees.
In 2014 we were contacted by Mr A Richardson who, having was assigned a lease of a basement flat in Coleshill in March 1995. The dilemma was if we could shed any light on how much (roughly) price would be for a 90 year extension to my lease. Comparable homes in Coleshill with 100 year plus lease were worth £181,600. The average amount of ground rent was £55 collected monthly. The lease ended in 2078. Taking into account 52 years left we approximated the compensation to the landlord to extend the lease to be within £30,400 and £35,200 exclusive of expenses.