The only way is down when it comes to Consett lease terms. Consett flats that have a residual term shorter than eighty years will reduce in value at a rapid rate, and the cost of extending your lease will go up.
It is generally accepted that a residential leasehold with more than one hundred years remaining is worth roughly the same as a freehold. Where an further 90 years added to all but the shortest lease, the residence will be worth the same as a freehold for decades to come.
| Lender | Requirement |
|---|---|
| Accord Mortgages | 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. |
| Barnsley Building Society | 60 years from the date of the mortgage application subject to 35 years remaining at the end of the mortgage term. |
| 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. |
| Royal Bank of Scotland | 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. |
Irrespective of whether you are a tenant or a landlord in Consett,the lease extension solicitors that we work with will always be willing to discuss any residential leasehold matters and offer you the benefit of their in-depth market knowledge and the close ties they enjoy with Consett valuers.
Trailing protracted discussions with the freeholder of her garden apartment in Consett, Sophie commenced the lease extension process as the eighty year threshold was quickly coming. The transaction was finalised in January 2007. The freeholder’s fees were kept to an absolute minimum.
In 2009 we were e-mailed by Mr J Kelly who, having was assigned a lease of a purpose-built flat in Consett in April 2010. The question was if we could estimate the compensation to the landlord would likely be to extend the lease by ninety years. Identical flats in Consett with an extended lease were worth £166,800. The mid-range ground rent payable was £55 invoiced annually. The lease finished in 2076. Taking into account 50 years unexpired we calculated the premium to the freeholder to extend the lease to be between £32,300 and £37,400 exclusive of expenses.
Mr F Parker bought a studio apartment in Consett in April 2008. The question was if we could estimate the compensation to the landlord would be for a 90 year extension to my lease. Identical residencies in Consett with a long lease were worth £280,000. The average amount of ground rent was £45 billed per annum. The lease lapsed in 2096. Taking into account 70 years as a residual term we calculated the compensation to the freeholder for the lease extension to be between £12,400 and £14,200 not including legals.