The rule of thumb is, all other things holding equal, the shorter the lease the more expensive the premium. Qualifying leaseholders in Colwall can extend the lease for an additional 90 years under legislation. Please give careful consideration before delaying your Colwall lease extension. Postponing that expense today simply increases the price you will eventually be required to pay for a lease extension.
It is conventional wisdom that a residential leasehold with in excess of one hundred years unexpired lease term is worth approximately the equivalent as a freehold. Where an additional ninety years added to all but the shortest lease, the premises will be equivalent in value to a freehold for many years ahead.
| Lender | Requirement |
|---|---|
| Bank of Scotland | Minimum 70 years from the date of the mortgage. |
| 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. |
| Lloyds TSB Scotland | Minimum 70 years from the date of the mortgage. |
| National Westminster Bank | Mortgage term plus 30 years. |
Using our service gives you better control over the value of your Colwall leasehold, as your property will be more valuable and marketable in terms of lease length should you wish to sell. The conveyancing solicitors that we work with have a wealth of experience of handling many hundreds of lease extensions or freehold purchase transactions.
After lengthy negotiations with the landlord of her ground floor apartment in Colwall, Amber started the lease extension process as the eighty year deadline was rapidly approaching. The legal work was finalised in November 2014. The landlord’s fees were kept to an absolute minimum.
In 2010 we were approached by Dr C García who, having bought a first floor apartment in Colwall in July 2010. We are asked if we could estimate the price could be to extend the lease by 90 years. Similar premises in Colwall with 100 year plus lease were in the region of £174,200. The mid-range ground rent payable was £55 collected yearly. The lease expiry date was in 2076. Given that there were 51 years left we calculated the compensation to the freeholder for the lease extension to be between £31,400 and £36,200 not including expenses.
Mrs F Bell bought a garden apartment in Colwall in November 1996. We are asked if we could shed any light on how much (roughly) compensation to the landlord would be for a ninety year lease extension. Comparative properties in Colwall with an extended lease were worth £285,000. The mid-range amount of ground rent was £45 invoiced monthly. The lease lapsed on 1 June 2096. Taking into account 71 years as a residual term we estimated the compensation to the landlord to extend the lease to be between £12,400 and £14,200 plus fees.