The rule of thumb is, all other things holding equal, the shorter the lease the more costly the premium. Qualifying leaseholders in Dunnington have the legal entitlement to extend the lease for an additional 90 years in accordance with the 1993 Leasehold Reform Act. Please think carefully before delaying your Dunnington lease extension. Shelving that expense now simply escalates the premium you will eventually have to pay for a lease extension.
It is generally accepted that a property with over one hundred years unexpired lease term is worth approximately the equivalent as a freehold. Where an additional ninety years added to all but the shortest lease, the residence will be worth the same as a freehold for many years ahead.
| Lender | Requirement |
|---|---|
| Bank of Scotland | Minimum 70 years from the date of the mortgage. |
| 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. |
| Santander | If the property is leasehold, the remaining unexpired lease term at the end of the new mortgage term must be at least 50 years where any part of the mortgage is on Interest Only and 30 years if all loan parts are on Capital Repayment and Interest. You must report the unexpired lease term to us and await our instructions if:
|
| 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 Dunnington can be a difficult process. We recommend you obtain guidance from a conveyancer 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 procuring Dunnington lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Two years ago Jason, came perilously close to the 80-year mark with the lease on his one bedroom apartment in Dunnington. In buying his property two decades ago, the length of the lease was of no concern. Thankfully, he became aware that he would soon be paying an inflated amount for a lease extension. Jason arranged for a lease extension just under the wire in January. Jason and the landlord who owned the flat above subsequently agreed on an amount of £5,000 . If he failed to meet the deadline, the amount would have become more exhorbitant by at least £1,075.
Mr and Mrs. N Rivera acquired a basement flat in Dunnington in April 2009. We are asked if we could approximate the premium would be to prolong the lease by 90 years. Comparative residencies in Dunnington with a long lease were worth £223,400. The mid-range amount of ground rent was £60 collected annually. The lease finished on 23 November 2085. Given that there were 59 years remaining we approximated the premium to the landlord to extend the lease to be within £27,600 and £31,800 plus fees.
Mr Jayden Gunderson took over the lease of a ground floor apartment in Dunnington in August 1998. We are asked if we could approximate the compensation to the landlord could be for a ninety year lease extension. Comparable homes in Dunnington with an extended lease were worth £205,000. The mid-range ground rent payable was £50 collected quarterly. The lease finished in 2105. Considering the 79 years as a residual term we approximated the premium to the landlord for the lease extension to be within £8,600 and £9,800 plus legals.