Chances are that if you own a flat in Danescourt you actually own a long leasehold interest over your property
It is generally accepted that a residential leasehold with in excess of 100 years unexpired lease term is worth approximately the equivalent as a freehold. Where an additional ninety years added to any lease with more than 35 years remaining, the property will be equivalent in value to a freehold for many years ahead.
| Lender | Requirement |
|---|---|
| Accord Mortgages | 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. |
| 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; |
| 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. |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
Lease extensions in Danescourt can be a difficult process. We recommend you procure professional help from a lawyer and surveyor with experience in this area.
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 procuring Danescourt lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Cameron was the the leasehold owner of a 2 bedroom apartment in Danescourt being sold with a lease of fraction over 59 years unexpired. Cameron informally contacted his freeholder a well known Bristol-based freehold company and enquired on a premium to extend the lease. The freeholder indicated a willingness to grant an extension taking the lease to 125 years on the basis of an increased rent to £50 per annum. No ground rent would be due on a lease extension were Cameron to exercise his statutory right. Cameron procured expert legal guidance and was able to make a more informed judgement and handle with the matter and readily saleable.
Mr and Mrs. V Bell moved into a first floor flat in Danescourt in January 2001. We are asked if we could shed any light on how much (roughly) premium could be for a ninety year extension to my lease. Comparative properties in Danescourt with a long lease were in the region of £216,000. The average amount of ground rent was £60 billed every twelve months. The lease concluded in 2084. Having 58 years outstanding we approximated the compensation to the landlord to extend the lease to be within £28,500 and £33,000 exclusive of legals.
In 2012 we were called by Mr R Anderson who, having was assigned a lease of a first floor apartment in Danescourt in February 1999. The question was if we could shed any light on how much (approximately) premium could be for a ninety year lease extension. Similar premises in Danescourt with an extended lease were valued around £200,000. The average ground rent payable was £50 collected per annum. The lease came to a finish in 2104. Taking into account 78 years unexpired we calculated the premium to the landlord for the lease extension to be within £8,600 and £9,800 not including professional charges.