The only way is down when it comes to Easthampstead lease terms. Easthampstead properties that have a remaining term less than than eighty years will de-escalate in value at a rapid rate, and the cost of extending your lease will go up.
It is conventional wisdom that a property with in excess of one hundred years remaining is worth approximately the equivalent as a freehold. Where an additional ninety years added to any lease with more than 45 years remaining, the residence will be worth the same as a freehold for many years in the future.
| Lender | Requirement |
|---|---|
| Bank of Scotland | Minimum 70 years from the date of the mortgage. |
| Birmingham Midshires | Minimum 70 years from the date of the mortgage. |
| Godiva Mortgages | 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. |
| Halifax | Minimum 70 years from the date of the mortgage. |
| Skipton Building Society | 85 years from the date of completion of the mortgage For Buy to Let cases: - lettings must not breach any of the lessee’s covenants; and - consent of the lessor to lettings must be obtained if necessary |
Regardless of whether you are a tenant or a freeholder in Easthampstead,the lease extension solicitors that we work with will always be willing to discuss any residential leasehold matters and offer you the benefit of their experience and the close ties they enjoy with Easthampstead valuers.
In recent months Kian, started to get near to the eighty-year threshold with the lease on his purpose- built flat in Easthampstead. In buying his property two decades ago, the length of the lease was of little importance. Fortunately, he realised he would soon be paying an escalated premium for a lease extension. Kian extended the lease just under the wire in September. Kian and the landlord subsequently settled on sum of £5,500 . If he not met the deadline, the figure would have increased by a minimum £1,125.
Last February we were e-mailed by Mrs Jordan Morgan , who completed a purpose-built apartment in Easthampstead in November 1996. The dilemma was if we could shed any light on how much (roughly) compensation to the landlord would be for a 90 year lease extension. Comparative residencies in Easthampstead with a long lease were in the region of £205,000. The mid-range amount of ground rent was £50 collected annually. The lease expired in 2104. Having 78 years left we calculated the premium to the freeholder to extend the lease to be between £8,600 and £9,800 plus fees.
In 2010 we were called by Ms O Brooks who, having completed a one bedroom flat in Easthampstead in October 1998. The question was if we could approximate the price would likely be for a 90 year lease extension. Identical flats in Easthampstead with an extended lease were valued about £267,600. The average amount of ground rent was £65 invoiced monthly. The lease expired in 2093. Taking into account 67 years left we calculated the premium to the landlord to extend the lease to be between £14,300 and £16,400 plus legals.