Top reasons for Dunstable lease extension
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Main reasons to start your Dunstable lease extension today:
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Increase your lease and increase your <a href="http://www.lendermonitor.com/conveyancing/loc/dunstable">Dunstable</a> property value </h4>
<p> The re-sale value of a leasehold property in Dunstable is impacted by how many years the lease has left to run. If it is close to or less than eighty years you should foresee difficulties on re-sale, so it is advisable to arrange for the lease to be extended before buying. It is ideal to start the process of extending the lease is when the lease still has 82 years to run so that a lease extension can be finalised in advance of the 80 year threshold. Current legislation entitles Dunstable qualifying lessees to acquire a lease extension of ninety years on top of the remaining length of the lease at a peppercorn rent (that is, rent free). The intention of the valuation is to determine the sum payable by the lessee to the freeholder for the acquisition of the lease extension. <h4>Dunstable property with a lease extension has roughly the same value as a freehold</h4>
<p> It is conventional wisdom that a residential leasehold with more than one hundred years unexpired lease term is worth roughly the same as a freehold. Where an further 90 years added to all but the shortest lease, the residence will be equivalent in value to a freehold for many years ahead.
<h4>Banks and Building Societies may not lend on a short lease</h4> Banks and Building Societies are less likely to grant a loan offer on a domestic flat in Dunstable with a short lease. Some lenders simply refuse to lend on leases with under 75 years left.
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<th> Requirement
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<td>Barnsley Building Society</td>
<td> 60 years from the date of the mortgage application subject to 35 years remaining at the end of the mortgage term.
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<td>Birmingham Midshires</td>
<td> Minimum 70 years from the date of the mortgage.
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<td>Leeds Building Society</td>
<td> 85 years remaining from the start of the mortgage.
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<td>Lloyds TSB Scotland</td>
<td> Minimum 70 years from the date of the mortgage.
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<td>Santander</td>
<td> You must report the unexpired lease term to us and await our instructions if: <br />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<br />2. the unexpired term assumed by our valuer is more than 82 years but the actual unexpired term is less than 82 years; or<br />3. no valuation report is provided<br />However, we will not accept a lease where on expiry of the mortgage:<br />(i) less than 50 years remain and all or part of the loan is repaid on an interest-only basis: or<br />(ii) less than 30 years remain and the loan is repaid on a capital and interest basis<br /><br />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.
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Why use us for your lease extension in Dunstable? </h4>
<p> Retaining our service gives you better control over the value of your Dunstable leasehold, as your property will be more valuable and saleable in terms of lease length should you decide to sell.
The conveyancers that we work with have a in-depth market knowledge handling many hundreds of lease extensions or freehold purchase transactions. <h4>
Dunstable Lease Extension Case Studies:
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<h5> Caleb, Dunstable, Bedfordshire</h5>
<p> During the course of the last few months Caleb, came critically close to the 80-year threshold with the lease on his purpose- built apartment in Dunstable. In buying his home two decades ago, the length of the lease was of little concern. As luck would have it, he recognised he would soon be paying an escalated premium for Extending the lease. Caleb was able to extend his lease just in the nick of time last March. Caleb and the landlord who owned the flat above eventually settled on sum of £5,500 . If he had missed the deadline, the sum would have escalated by a minimum £900.
<h5>Dunstable case:</h5>
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In 2011 we were approached by Dr H Mason who, having completed a one bedroom flat in Dunstable in May 2001. We are asked if we could approximate the price could be to prolong the lease by an additional years. Identical homes in Dunstable with an extended lease were in the region of £285,000. The mid-range amount of ground rent was £45 invoiced per annum. The lease terminated in 2097. Having 71 years remaining we calculated the premium to the freeholder to extend the lease to be between £12,400 and £14,200 not including professional charges.
<h5>Dunstable case:</h5>
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In 2011 we were phoned by Ms Bethan Evans who, having purchased a recently refurbished apartment in Dunstable in February 1997. The question was if we could shed any light on how much (approximately) compensation to the landlord would be for a 90 year lease extension. Comparable flats in Dunstable with 100 year plus lease were in the region of £230,800. The average amount of ground rent was £60 collected yearly. The lease finished on 22 June 2086. Taking into account 60 years unexpired we approximated the compensation to the landlord for the lease extension to be within £24,700 and £28,600 exclusive of legals.
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