The rule of thumb is, all other factors being equal, the shorter the lease the more expensive the premium. Qualifying leaseholders in Eccleston and St Helens can extend the lease for a further ninety years under Leasehold Reform legislation. Do think carefully before delaying your Eccleston and St Helens lease extension. Putting off the costs today simply escalates the price you will ultimately be required to pay to extend the lease.
Leasehold premises in Eccleston and St Helens with in excess of one hundred years outstanding on the lease are sometimes referred to as ‘virtual freehold’. This is where the lease is worth 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 service charges merit it.
| Lender | Requirement |
|---|---|
| Bank of Scotland | Minimum 70 years from the date of the mortgage. |
| Barnsley Building Society | 60 years from the date of the mortgage application subject to 35 years remaining at the end of the mortgage term. |
| Halifax | Minimum 70 years from the date of the mortgage. |
| Santander | You must report the unexpired lease term to us and await our instructions if: 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 2. the unexpired term assumed by our valuer is more than 82 years but the actual unexpired term is less than 82 years; or 3. no valuation report is provided However, we will not accept a lease where on expiry of the mortgage: (i) less than 50 years remain and all or part of the loan is repaid on an interest-only basis: or (ii) less than 30 years remain and the loan is repaid on a capital and interest basis 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. |
| 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 |
Irrespective of whether you are a tenant or a landlord in Eccleston and St Helens,the lease extension lawyers that we work with will always be prepared to discuss any residential leasehold matters and offer you the benefit of their in-depth market knowledge and the close ties they enjoy with Eccleston and St Helens valuers.
Subsequent to lengthy discussions with the landlord of her basement apartment in Eccleston and St Helens, Charlotte started the lease extension process just as the lease was coming close to the crucial 80-year threshold. The lease extension was finalised in March 2011. The freeholder’s costs were kept to an absolute minimum.
In 2012 we were e-mailed by Mr John García who, having bought a garden apartment in Eccleston and St Helens in March 2000. We are asked if we could estimate the premium could be for a 90 year extension to my lease. Comparative premises in Eccleston and St Helens with 100 year plus lease were worth £203,200. The average ground rent payable was £65 collected yearly. The lease ran out on 13 February 2086. Given that there were 61 years as a residual term we calculated the compensation to the landlord for the lease extension to be between £19,000 and £22,000 not including fees.
Ms Gemma Davies bought a newly refurbished flat in Eccleston and St Helens in June 2008. The dilemma was if we could shed any light on how much (roughly) price could be for a ninety year extension to my lease. Similar flats in Eccleston and St Helens with 100 year plus lease were in the region of £260,000. The mid-range amount of ground rent was £50 invoiced yearly. The lease end date was in 2096. Given that there were 71 years outstanding we estimated the compensation to the freeholder for the lease extension to be between £9,500 and £11,000 exclusive of costs.