Durrington leases on residential properties are gradually losing value. The shorter the remaining lease term becomes, the less it is worth – and as a result any extension of your lease becomes more expensive. Legislation has been in place for sometime now which permits qualifying Durrington residential leaseholders to extend the terms of long leases. If you are a leasehold owner in Durrington you should investigate if your lease has between 70 and ninety years remaining. There are compelling reasons why a Durrington leaseholder with a lease having around 80 years left should take steps to ensure that a lease extension is put in place without delay
Leasehold premises in Durrington with over 100 years left on the lease are sometimes referred to as ‘virtual freehold’. This is where the lease value the same as a freehold interest in your premises. In such situations there is often little upside in purchasing the reversionary interest unless savings on ground rent and maintenance charges merit it.
| Lender | Requirement |
|---|---|
| Accord Mortgages | 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. |
| 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. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
| National Westminster Bank | Mortgage term plus 30 years. |
| 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 Durrington can be a difficult process. We recommend you procure professional help from a conveyancing solicitor and valuer with experience in this area.
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 a wealth of experience dealing with Durrington lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
In 2014 Caleb, started to get close to the eighty-year mark with the lease on his ground floor apartment in Durrington. In buying his home twenty years ago, the lease term was of little bearing. by good luck, he became aware that he needed to take action soon on a lease extension. Caleb extended the lease just ahead of time in July. Caleb and the landlord who owned the flat above eventually agreed on a premium of £5,000 . If he not met the deadline, the figure would have escalated by at least £925.
Last Summer we were phoned by Mr and Mrs. T Kelly , who was assigned a lease of a studio apartment in Durrington in November 2011. We are asked if we could shed any light on how much (roughly) price would likely be to extend the lease by a further 90 years. Identical residencies in Durrington with 100 year plus lease were worth £189,000. The average ground rent payable was £55 billed quarterly. The lease ran out on 21 August 2078. Taking into account 53 years outstanding we estimated the premium to the freeholder to extend the lease to be within £28,500 and £33,000 not including legals.
Mr and Mrs. O Laurent completed a first floor apartment in Durrington in August 1996. We are asked if we could approximate the price would be to extend the lease by a further 90 years. Comparative residencies in Durrington with a long lease were valued about £290,000. The average ground rent payable was £45 billed every twelve months. The lease concluded on 13 October 2098. Taking into account 73 years remaining we estimated the compensation to the landlord for the lease extension to be within £9,500 and £11,000 plus fees.