It’s a harsh certainty that a Conisborough residential lease is a wasting asset. The lease value drops in proportion to its lease length. The extent of this is not fully appreciated in the first few years due to the loss of value being disguised by increases in the Conisborough property market.Where your lease has approximately 90 years left, you should start thinking about a lease extension. An important point to note is that it is desirable for lease extension to take place before the term of the existing lease slips lower than eighty years - otherwise a higher amount will be payable. The majority of leasehold owners in Conisborough will be able to extend under the legislation; however a conveyancing solicitor should be able to clarify if you are eligibility. In some cases you may not qualify. There are also strict deadlines and procedures to follow once the process is instigated and you will need to be guided by your conveyancing solicitor for the duration of the formalities.
Leasehold residencies in Conisborough with in excess of 100 years remaining on the lease are sometimes referred to as ‘virtual freehold’. This is where the lease value the same as a freehold interest in your property. In such circumstances there is often little to be gained by buying the freehold unless savings on ground rent and service charges merit it.
| Lender | Requirement |
|---|---|
| Bank of Scotland | Minimum 70 years from the date of the mortgage. |
| Halifax | Minimum 70 years from the date of the mortgage. |
| Lloyds TSB Scotland | Minimum 70 years from the date of the mortgage. |
| National Westminster Bank | Mortgage term plus 30 years. |
| 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. |
The lawyers that we work with undertake Conisborough lease extensions and help protect your position. A lease extension can be arranged to be completed to coincide with a change of ownership so the costs of the lease extension are paid for using part of the sale proceeds. You really do need expert legal advice in this difficult and technical area of law. The conveyancer we work with provide it.
Following protracted correspondence with the landlord of her studio apartment in Conisborough, Isabella started the lease extension process as the eighty year deadline was rapidly approaching. The transaction was concluded in November 2013. The landlord’s charges were kept to an absolute minimum.
Last month we were phoned by Mr and Mrs. M Davis , who bought a studio apartment in Conisborough in May 2003. We are asked if we could approximate the compensation to the landlord would be for a ninety year extension to my lease. Comparative flats in Conisborough with a long lease were worth £242,600. The average amount of ground rent was £45 billed yearly. The lease concluded on 11 April 2092. Having 67 years outstanding we approximated the compensation to the freeholder for the lease extension to be within £11,400 and £13,200 exclusive of costs.
Mrs Megan Brooks owned a recently refurbished apartment in Conisborough in October 1996. We are asked if we could shed any light on how much (approximately) compensation to the landlord would likely be for a 90 year extension to my lease. Identical flats in Conisborough with 100 year plus lease were worth £280,000. The average ground rent payable was £55 invoiced every twelve months. The lease finished in 2103. Having 78 years unexpired we estimated the compensation to the landlord to extend the lease to be within £13,300 and £15,400 plus fees.