The rule of thumb is, all other things holding equal, the shorter the lease the more expensive the premium. Qualifying leaseholders in Filton have the right to extend the lease for a further 90 years in accordance with Leasehold Reform legislation. Do give careful consideration before delaying your Filton lease extension. Shelving that expense today simply escalates the price you will ultimately be required to pay to extend the lease.
Leasehold properties in Filton with more than 100 years unexpired on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your home. In such circumstances there is often little to be gained by purchasing the reversionary interest unless savings on ground rent and service charges warrant it.
| Lender | Requirement |
|---|---|
| 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. |
| 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. |
| 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. |
The conveyancers that we work with handle Filton 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 conveyancing solicitor we work with provide it.
Half a year ago Logan, came precariously close to the eighty-year threshold with the lease on his ground floor flat in Filton. In buying his home two decades ago, the unexpired term was of little interest. Luckily, it dawned on him that he would soon be paying an escalated premium for Extending the lease. Logan arranged for a lease extension just under the wire last May. Logan and the landlord who owned the flat above ultimately settled on sum of £6,000 . If he failed to meet the deadline, the premium would have become more costly by at least £1,025.
Last year we were contacted by Mr Daniel Dupont , who was assigned a lease of a one bedroom apartment in Filton in July 2008. We are asked if we could shed any light on how much (roughly) price would likely be for a 90 year extension to my lease. Comparable flats in Filton with 100 year plus lease were worth £200,800. The average ground rent payable was £65 invoiced yearly. The lease came to a finish on 4 March 2085. Given that there were 60 years outstanding we approximated the premium to the landlord for the lease extension to be between £20,900 and £24,200 exclusive of professional charges.
In 2011 we were e-mailed by Mr N Sánchez who, having moved into a ground floor apartment in Filton in August 2003. We are asked if we could shed any light on how much (roughly) compensation to the landlord would be to extend the lease by an additional years. Comparable properties in Filton with 100 year plus lease were valued about £260,000. The mid-range amount of ground rent was £50 billed every twelve months. The lease lapsed on 4 February 2096. Having 71 years remaining we approximated the premium to the landlord to extend the lease to be within £9,500 and £11,000 not including legals.