Chances are that if you own a flat in Didcot you actually own a long leasehold interest over your property
It is conventional wisdom that a property with in excess of one hundred years remaining is worth roughly the same as a freehold. Where an additional ninety years added to any lease with more than 45 years remaining, the premises 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. |
| 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. |
| 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. |
| 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 |
Lease extensions in Didcot can be a difficult process. We recommend you obtain professional help from a lawyer and valuer 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 Didcot lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Following lengthy correspondence with the landlord of her purpose-built flat in Didcot, Megan commenced the lease extension process as the eighty year threshold was quickly coming. The lease extension completed in June 2007. The landlord’s costs were negotiated to a tad over 450 pounds.
Mr Milo Sharif completed a one bedroom apartment in Didcot in July 2010. We are asked if we could shed any light on how much (roughly) compensation to the landlord could be to prolong the lease by ninety years. Comparable flats in Didcot with a long lease were worth £210,600. The average amount of ground rent was £45 billed monthly. The lease lapsed in 2088. Considering the 62 years as a residual term we approximated the premium to the landlord to extend the lease to be within £18,100 and £20,800 not including expenses.
Dr M Wright owned a first floor flat in Didcot in July 1995. We are asked if we could estimate the compensation to the landlord would likely be for a 90 year extension to my lease. Comparative flats in Didcot with 100 year plus lease were in the region of £265,000. The mid-range amount of ground rent was £50 collected yearly. The lease end date was in 2099. Given that there were 73 years outstanding we estimated the premium to the freeholder to extend the lease to be between £9,500 and £11,000 plus expenses.