Easingwold leases on residential deteriorating in value. if your lease has in the region of ninety years unexpired, you should start thinking about a lease extension. If lease term falls under eighty years, you will then have to pay half of the property's 'marriage value' on top of the usual cost of the lease extension to the landlord. Marriage value is the amount of extra value that a lease extension will add to the property. Leasehold owners in Easingwold will usually qualify for a lease extension; however a solicitor will confirm your eligibility. In certain situations you may not be entitled. There are also strict deadlines and formalities to follow once the process is initiated so it’s sensible to be guided by a conveyancer during the process.
It is conventional wisdom that a residential leasehold with more than 100 years unexpired lease term is worth approximately the equivalent as a freehold. Where an further 90 years added to any lease with more than 30 years unexpired, the premises will be worth the same as a freehold for many years in the future.
| 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. |
| Lloyds TSB Scotland | Minimum 70 years from the date of the mortgage. |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
| 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. |
The lawyers that we work with undertake Easingwold lease extensions and help protect your position. A lease extension can be arranged to be completed to coincide with a change of ownership so the costs of the lease extension are paid for using part of the sale proceeds. You really do need expert legal advice in this difficult and technical area of law. The conveyancer we work with provide it.
Jonathan owned a studio apartment in Easingwold on the market with a lease of a few days over fifty eight years left. Jonathan informally spoke with his freeholder a well known Manchester-based freehold company and enquired on a premium to extend the lease. The landlord was prepared to agree an extension on non-statutory terms taking the lease to 125 years on the basis of a rise in the rent to £50 per annum. No ground rent would be payable on a lease extension were Jonathan to exercise his statutory right. Jonathan procured expert legal guidance and secured satisfactory resolution informally and readily saleable.
Ms Isabel Cooper took over the lease of a recently refurbished apartment in Easingwold in October 2010. We are asked if we could shed any light on how much (approximately) compensation to the landlord would likely be to extend the lease by an additional years. Comparative residencies in Easingwold with an extended lease were valued about £280,000. The mid-range ground rent payable was £45 invoiced quarterly. The lease lapsed on 15 February 2095. Considering the 69 years as a residual term we calculated the premium to the freeholder for the lease extension to be between £12,400 and £14,200 not including legals.
Mr and Mrs. R Morel purchased a recently refurbished flat in Easingwold in January 1999. We are asked if we could shed any light on how much (roughly) price could be for a 90 year extension to my lease. Comparable homes in Easingwold with a long lease were worth £216,000. The mid-range amount of ground rent was £60 collected annually. The lease came to a finish on 28 February 2084. Taking into account 58 years outstanding we estimated the premium to the freeholder for the lease extension to be between £28,500 and £33,000 exclusive of expenses.