On the balance of probabilities where you own a flat in Corfe Mullen you actually own a long leasehold interest over your property
Leasehold premises in Corfe Mullen with in excess of 100 years outstanding on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your property. In such circumstances there is often little upside in buying the freehold unless savings on ground rent and maintenance charges merit it.
| Lender | Requirement |
|---|---|
| Barnsley Building Society | 60 years from the date of the mortgage application subject to 35 years remaining at the end of the mortgage term. |
| Chelsea 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. |
| 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. |
| Lloyds TSB Scotland | Minimum 70 years from the date of the mortgage. |
| 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 Corfe Mullen can be a difficult process. We recommend you get guidance from a conveyancer and surveyor 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 Corfe Mullen lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Last year Jasper, came dangerously close to the eighty-year mark with the lease on his garden flat in Corfe Mullen. In buying his flat 18 years previously, the unexpired term was of minimal interest. As luck would have it, he noticed he needed to take action soon on a lease extension. Jasper arranged for a lease extension just in the nick of time last April. Jasper and the landlord who owned the flat above subsequently agreed on the final figure of £6,000 . If the lease had dipped to less than eighty years, the sum would have become more exhorbitant by at least £875.
Last April we were e-mailed by Mr I Flores , who completed a first floor apartment in Corfe Mullen in February 2007. We are asked if we could estimate the premium would likely be for a ninety year lease extension. Similar residencies in Corfe Mullen with an extended lease were in the region of £200,000. The mid-range ground rent payable was £50 collected per annum. The lease concluded in 2104. Taking into account 78 years unexpired we calculated the premium to the freeholder for the lease extension to be between £8,600 and £9,800 exclusive of professional charges.
In 2013 we were contacted by Mr and Mrs. A Bertrand who, having completed a newly refurbished apartment in Corfe Mullen in January 2002. The dilemma was if we could estimate the premium could be to extend the lease by ninety years. Comparable premises in Corfe Mullen with an extended lease were worth £267,600. The average ground rent payable was £65 billed annually. The lease ended on 21 September 2093. Considering the 67 years as a residual term we estimated the compensation to the freeholder to extend the lease to be between £14,300 and £16,400 exclusive of professional charges.