The basic rule is, all other things holding equal, the shorter the lease the more expensive the premium. Qualifying leaseholders in Dersingham have the right to extend the lease for a further 90 years in accordance with the 1993 Leasehold Reform Act. Do think carefully before delaying your Dersingham lease extension. Shelving that expense today simply escalates the price you will eventually have to pay to extend the lease.
It is generally considered that a property with over one hundred years unexpired lease term is worth approximately the same as a freehold. Where an additional 90 years added to all but the shortest lease, the residence will be worth the same as a freehold for many years in the future.
| Lender | Requirement |
|---|---|
| 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. |
| Halifax | Minimum 70 years from the date of the mortgage. |
| Leeds Building Society | 85 years remaining from the start 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 |
Lease extensions in Dersingham can be a difficult process. We recommend you procure guidance from a conveyancing solicitor and surveyor with experience in lease extensions.
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 Dersingham lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Trailing protracted correspondence with the landlord of her ground floor flat in Dersingham, Harriet started the lease extension process just as her lease was approaching the all-important 80-year mark. The legal work was finalised in October 2006. The freeholder’s costs were kept to an absolute minimum.
Last Christmas we were phoned by Mr and Mrs. H Alexander , who completed a studio apartment in Dersingham in May 2002. The dilemma was if we could shed any light on how much (approximately) compensation to the landlord could be for a 90 year extension to my lease. Comparative premises in Dersingham with 100 year plus lease were in the region of £280,000. The average ground rent payable was £55 billed per annum. The lease lapsed in 2102. Having 77 years left we estimated the premium to the landlord to extend the lease to be between £13,300 and £15,400 exclusive of costs.
Mr and Mrs. A Nelson took over the lease of a one bedroom apartment in Dersingham in July 2003. The dilemma was if we could estimate the premium would be for a 90 year extension to my lease. Comparative properties in Dersingham with 100 year plus lease were in the region of £183,600. The average ground rent payable was £65 collected yearly. The lease ran out in 2082. Having 57 years remaining we approximated the compensation to the freeholder to extend the lease to be within £28,500 and £33,000 plus fees.