The only way is down when it comes to Cotgrave lease terms. Cotgrave leaseholds that have a lease term shorter than 80 years will drop in value even faster, and the cost to extend your lease will increase.
Leasehold properties in Cotgrave with in excess of 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 home. In such circumstances there is often little to be gained by buying the reversionary interest unless savings on ground rent and maintenance charges merit it.
| Lender | Requirement |
|---|---|
| Barclays plc | Leases with less than 70 years at the commencement of the mortgage should be declined (see exception below). Leases with greater than 70 years but fewer than 85 years remaining must be referred to issuing office. 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. |
| Halifax | Minimum 70 years from the date of the mortgage. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
Engaging our service gives you increased control over the value of your Cotgrave leasehold, as your property will be more valuable and saleable in terms of lease length should you wish to sell. The conveyancing solicitors that we work with have a in-depth market knowledge handling many hundreds of lease extensions or freehold purchase transactions.
After unsuccessful correspondence with the landlord of her garden flat in Cotgrave, Sian commenced the lease extension process as the 80 year mark was fast nearing. The lease extension was finalised in September 2005. The landlord’s fees were negotiated to a tad over 500 pounds.
In 2013 we were e-mailed by Dr O Rodríguez who, having acquired a one bedroom flat in Cotgrave in March 2000. The question was if we could shed any light on how much (approximately) price would likely be to extend the lease by ninety years. Comparable homes in Cotgrave with an extended lease were worth £245,000. The mid-range amount of ground rent was £45 billed annually. The lease expired in 2093. Having 68 years outstanding we approximated the compensation to the freeholder for the lease extension to be within £9,500 and £11,000 exclusive of fees.
Mr and Mrs. B Nelson bought a basement flat in Cotgrave in November 2010. We are asked if we could approximate the premium would likely be to extend the lease by a further 90 years. Comparable homes in Cotgrave with an extended lease were valued about £285,000. The average ground rent payable was £55 invoiced monthly. The lease lapsed in 2104. Considering the 79 years left we approximated the compensation to the landlord to extend the lease to be between £13,300 and £15,400 not including costs.