The rule of thumb is, all other factors being equal, the shorter the lease the more expensive the premium. Qualifying leaseholders in Crawley Down have the legal entitlement to extend the lease for a further ninety years under Leasehold Reform legislation. Please think carefully before delaying your Crawley Down lease extension. Putting off the costs today simply escalates the premium you will ultimately be required to pay for a lease extension.
It is generally accepted that a residential leasehold with more than 100 years remaining is worth approximately the same as a freehold. Where an further 90 years added to any lease with more than 30 years remaining, the residence will be equivalent in value to a freehold for many years ahead.
| 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. |
| Birmingham Midshires | Minimum 70 years from the date of the mortgage. |
| 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. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
Regardless of whether you are a tenant or a freeholder in Crawley Down,the lease extension experts that we work with will always be prepared to discuss any residential leasehold matters and offer you the benefit of their in-depth market knowledge and the close ties they enjoy with Crawley Down valuers.
In 2014 Leo, came critically near to the eighty-year mark with the lease on his purpose- built apartment in Crawley Down. In buying his home two decades ago, the unexpired term was of no significance. Thankfully, he realised he needed to take steps soon on Extending the lease. Leo was able to extend his lease at the eleventh hour last September. Leo and the landlord who owned the flat above ultimately settled on sum of £5,000 . If the lease had slid to less than 80 years, the price would have escalated by a minimum £975.
In 2011 we were e-mailed by Mrs Natalie Lambert who, having moved into a ground floor flat in Crawley Down in May 2012. The question was if we could shed any light on how much (roughly) compensation to the landlord would be to extend the lease by a further 90 years. Comparative properties in Crawley Down with 100 year plus lease were in the region of £208,600. The mid-range amount of ground rent was £60 invoiced monthly. The lease expired in 2083. Considering the 57 years remaining we approximated the compensation to the landlord to extend the lease to be within £30,400 and £35,200 plus costs.
Last Summer we were called by Mr and Mrs. P Bell , who acquired a basement flat in Crawley Down in February 2005. We are asked if we could estimate the compensation to the landlord could be for a ninety year lease extension. Comparable homes in Crawley Down with a long lease were valued around £200,000. The average ground rent payable was £50 billed monthly. The lease lapsed in 2103. Having 77 years outstanding we calculated the compensation to the landlord to extend the lease to be within £8,600 and £9,800 exclusive of costs.