Owning a apartment usually means owning a lease of the property, which has a set term of years. your lease will normally be granted for a fixed period of time , ordinarily 99 or 125 years, although we have witnessed longer and shorter terms in Danescourt. Clearly, the length of lease left shortens as time goes by. This is often overlooked and only raises itself as an issue when the flat or house has to be sold or refinanced. The fewer the years remaining the lower the value of the property and the more it will cost to procure a lease extension. Qualifying leaseholders in Danescourt have the legal entitlement to extend the lease for an additional ninety years under the 1993 Leasehold Reform Act. Do give careful deliberation before putting off your Danescourt lease extension. Holding off that expense now likely increases the price you will eventually incur for a lease extension
It is generally considered that a property with over 100 years unexpired lease term is worth roughly the equivalent as a freehold. Where an further ninety years added to all but the shortest lease, the property will be worth the same as 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. |
| 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. |
| National Westminster Bank | Mortgage term plus 30 years. For Shared Ownership, the remaining term of the lease must be at least 30 years plus the term of the mortgage at the outset of the mortgage. |
| TSB | Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption. |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
Lease extensions in Danescourt can be a difficult process. We recommend you obtain 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 Danescourt lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Jason owned a studio apartment in Danescourt on the market with a lease of just over fifty eight years outstanding. Jason informally contacted his freeholder a well known Bristol-based freehold company and enquired on a premium to extend the lease. The landlord indicated a willingness to grant an extension taking the lease to 125 years subject to a new rent to start with set at £200 per annum and doubled every 25 years thereafter. No ground rent would be due on a lease extension were Jason to exercise his statutory right. Jason obtained expert advice and was able to make a more informed judgement and handle with the matter and readily saleable.
In 2013 we were contacted by Mr and Mrs. A Lambert who, having was assigned a lease of a one bedroom flat in Danescourt in November 2006. The dilemma was if we could estimate the premium could be for a 90 year lease extension. Comparative premises in Danescourt with an extended lease were in the region of £191,400. The average amount of ground rent was £55 invoiced monthly. The lease terminated in 2080. Considering the 54 years outstanding we estimated the compensation to the landlord for the lease extension to be between £34,200 and £39,600 exclusive of legals.
In 2009 we were phoned by Mr Milo Wright who, having moved into a garden flat in Danescourt in February 2012. We are asked if we could approximate the price would be to prolong the lease by an additional years. Similar flats in Danescourt with a long lease were valued about £295,000. The average amount of ground rent was £45 collected per annum. The lease concluded in 2100. Given that there were 74 years remaining we approximated the premium to the freeholder to extend the lease to be between £8,600 and £9,800 exclusive of fees.