Cotgrave leases on residential properties are gradually losing value. Where your lease has in the region of 90 years remaining, you should start thinking about a lease extension. If lease term is less than 80 years, you will then be required to pay half of the property's 'marriage value' on top of the usual cost of the lease extension to the landlord. Marriage value is the amount of additional value that a lease extension will add to the property. Flat owners in Cotgrave will usually qualify for a lease extension; however it’s a good idea to check with a conveyancer to check your eligibility. In certain cases you may not qualify. There are also strict timetables and steps to follow once the process is initiated so it’s sensible to be guided by a conveyancing solicitor during the process.
Leasehold residencies in Cotgrave with more than one hundred years outstanding on the lease are sometimes referred to as ‘virtual freehold’. This is where the lease value the same as a freehold interest in your home. In such circumstances there is often little upside in purchasing the freehold unless savings on ground rent and service charges warrant 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. |
| Halifax | Minimum 70 years from the date of the mortgage. |
| Skipton Building Society | 85 years from the date of completion of the mortgage For Buy to Let cases: - lettings must not breach any of the lessee’s covenants; and - consent of the lessor to lettings must be obtained if necessary |
| 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. |
Regardless of whether you are a tenant or a landlord in Cotgrave,the lease extension lawyers that we work with will always be happy to discuss any residential leasehold matters and offer you the benefit of their in-depth market knowledge and the close ties they enjoy with Cotgrave valuers.
Following lengthy correspondence with the freeholder of her leasehold apartment in Cotgrave, Rebecca initiated the lease extension process just as the lease was nearing the crucial eighty-year deadline. The transaction was finalised in April 2013. The freeholder’s fees were negotiated to a tad over 700 pounds.
Last Christmas we were approach by Dr U Petit , who was assigned a lease of a one bedroom apartment in Cotgrave in January 2007. We are asked if we could shed any light on how much (roughly) premium could be for a 90 year lease extension. Similar flats in Cotgrave with an extended lease were worth £203,200. The average amount of ground rent was £65 collected annually. The lease finished in 2086. Given that there were 61 years outstanding we estimated the compensation to the landlord for the lease extension to be within £20,000 and £23,000 not including fees.
In 2012 we were e-mailed by Dr N Hall who, having owned a studio apartment in Cotgrave in February 2006. The dilemma was if we could estimate the price would be to extend the lease by an additional years. Comparable homes in Cotgrave with an extended lease were in the region of £260,000. The mid-range ground rent payable was £50 billed quarterly. The lease concluded on 10 October 2097. Considering the 72 years as a residual term we calculated the premium to the freeholder for the lease extension to be within £9,500 and £11,000 plus professional charges.