Stop! Your Lease Extension in Costessey Could Be FREE

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Many leaseholders in Costessey are unaware that their original lawyer had a duty to warn them about future mortgageability and saleability issues. Before you pay thousands to your freeholder, let us audit your purchase history. You might have a claim that pays for your lease extension in full

If you are facing a significant premium because your lease in Costessey has dropped toward the 80-year mark, your previous lawyer may be at fault. Our panel of experts specialise in recovering lease extension costs from negligent firms who failed to protect your investment.

Main reasons to commence your Costessey lease extension

Main reasons to commence your Costessey lease extension today:

A Costessey lease depreciates with the years remaining on the lease.

Costessey residential property owned on a long lease is a depreciating asset as the leaseholder merely owns the property for a period of years.

An extended lease has roughly the same value as a freehold

Leasehold premises in Costessey with more than one hundred years remaining on the lease are sometimes referred to as ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your property. In such situations there is often little upside in buying the reversionary interest unless savings on ground rent and service charges merit it.

Lending institutions may decide not to lend on a short lease

Lenders do not like short residential leases. You are likely to experience difficulties if you need to sell your flat in Costessey if the remaining term of your lease is under the criteria set by most lenders. Different lenders have varying requirements but generally they are looking for an unexpired term of at least 65 years.

Lender Requirement
Bank of Scotland Minimum 70 years from the date of the mortgage.
Barclays plc Leases with less than 70 years at the commencement of the mortgage are not acceptable.

Leases with fewer than 70 years should only be referred to the issuing office where the following scenario applies, as discretion may be applied subject to bank approval:

• Property is located in any of the following prestigious developments: Cadogan, Crown, Grosvenor, Howard de Walden, Portman or Wellcome Trust Estates in Central London AND
• The value of the property subject to the short remaining term is £500,000 or more AND
• The loan to value does not exceed 90% for purchases, 90% like for like re-mortgages, 80% for re-mortgages with any element of capital raising and 80% for existing Barclays mortgage borrowers applying for additional borrowing;
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.
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.
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.

Why use us for your lease extension in Costessey?

Lease extensions in Costessey can be a difficult process. We recommend you get professional help 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 in-depth market knowledge dealing with Costessey lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.

Costessey Lease Extension Example Cases:

Toby, Costessey, Norfolk

14 months ago Toby, started to get near to the 80-year mark with the lease on his leasehold flat in Costessey. Having purchased his home two decades ago, the unexpired term was of minimal bearing. Fortunately, he became aware that he would imminently be paying an escalated premium for Extending the lease. Toby arranged for a lease extension at the eleventh hour last July. Toby and the freeholder in the end settled on an amount of £5,000 . If he had missed the deadline, the sum would have gone up by a minimum £950.

Costessey case:

Dr E Howard acquired a newly refurbished apartment in Costessey in April 2000. We are asked if we could estimate the compensation to the landlord would likely be to extend the lease by ninety years. Similar premises in Costessey with an extended lease were in the region of £191,000. The average ground rent payable was £65 billed annually. The lease came to a finish in 2084. Having 58 years as a residual term we approximated the premium to the landlord to extend the lease to be within £23,800 and £27,400 not including fees.

Costessey case:

Mr and Mrs. N Mason took over the lease of a basement apartment in Costessey in March 2003. The question was if we could estimate the premium would be to prolong the lease by ninety years. Similar properties in Costessey with an extended lease were valued about £250,000. The average ground rent payable was £50 billed quarterly. The lease finished on 16 March 2095. Taking into account 69 years unexpired we approximated the compensation to the landlord for the lease extension to be between £9,500 and £11,000 not including costs.