Ditchling leases on domestic properties are gradually losing value. if your lease has in the region of 90 years unexpired, you should start considering the need for a lease extension. It is important to recognise that it is that it is financially advisable for a lease extension to be in place before the term of the existing lease falls below eighty years - otherwise a higher amount will be payable. Leasehold owners in Ditchling will mostly qualify for a lease extension; however It would be wise to check with a conveyancing solicitor to check your eligibility. In certain circumstances you may not qualify. There are also strict timetables and formalities to follow once the process has started so it’s wise to be guided by a conveyancing solicitor during the process.
Leasehold residencies in Ditchling with in excess of 100 years remaining on the lease are often regarded as a ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your property. In such circumstances there is often little upside in purchasing the freehold unless savings on ground rent and service charges merit it.
| Lender | Requirement |
|---|---|
| Bank of Scotland | Minimum 70 years from the date of the mortgage. |
| Halifax | Minimum 70 years from the date of the mortgage. |
| Lloyds TSB Scotland | Minimum 70 years from the date of the mortgage. |
| Santander | You must report the unexpired lease term to us and await our instructions if: 1. the unexpired term assumed by our valuer is between 55 and 82 years, but the actual unexpired term differs by more than one year (whether longer or shorter); or 2. the unexpired term assumed by our valuer is more than 82 years but the actual unexpired term is less than 82 years; or 3. no valuation report is provided However, we will not accept a lease where on expiry of the mortgage: (i) less than 50 years remain and all or part of the loan is repaid on an interest-only basis: or (ii) less than 30 years remain and the loan is repaid on a capital and interest basis We will accept a lease that has been extended under the provisions of the Leasehold Reform Act 1993 provided statutory compensation would be available to the leaseholder. |
| Yorkshire 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. |
Lease extensions in Ditchling can be a difficult process. We recommend you procure professional help from a conveyancing solicitor 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 Ditchling lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
In the wake of eight months of protracted discussions with the landlord of her purpose-built flat in Ditchling, Tia started the lease extension process as the 80 year mark was rapidly nearing. The lease extension was concluded in March 2012. The landlord’s charges were kept to an absolute minimum.
Dr Joshua Brown took over the lease of a studio apartment in Ditchling in November 2001. The question was if we could approximate the compensation to the landlord would likely be to prolong the lease by an additional years. Similar residencies in Ditchling with a long lease were worth £285,000. The average ground rent payable was £55 billed every twelve months. The lease lapsed on 13 June 2104. Taking into account 79 years remaining we approximated the premium to the landlord for the lease extension to be within £13,300 and £15,400 not including costs.
Mr and Mrs. U Rodríguez took over the lease of a basement flat in Ditchling in April 2012. We are asked if we could approximate the compensation to the landlord would likely be to extend the lease by 90 years. Comparative residencies in Ditchling with 100 year plus lease were worth £198,400. The average ground rent payable was £65 billed every twelve months. The lease came to a finish on 3 January 2084. Considering the 59 years left we approximated the premium to the freeholder for the lease extension to be between £21,900 and £25,200 exclusive of expenses.