The basic rule is, all other things holding equal, the shorter the lease the more expensive the premium. Qualifying leaseholders in Fishponds can extend the lease for an additional 90 years under legislation. Please think carefully before delaying your Fishponds lease extension. Shelving the costs now simply escalates the amount you will ultimately be required to pay for a lease extension.
Leasehold residencies in Fishponds with more than 100 years outstanding on the lease are often referred to as ‘virtual freehold’. This is where the lease is worth 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 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. |
| Coventry Building Society | 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. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
| National Westminster Bank | Mortgage term plus 30 years. For Shared Ownership, the remaining term of the lease must be at least 30 years plus the term of the mortgage at the outset 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 |
Lease extensions in Fishponds can be a difficult process. We recommend you get professional help from a conveyancer and valuer well versed in the legislation and lease extension process.
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 procuring Fishponds lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
14 months ago Lewis, started to get near to the eighty-year threshold with the lease on his first floor flat in Fishponds. In buying his flat 18 years previously, the lease term was of minimal concern. by good luck, he recognised he needed to take steps soon on a lease extension. Lewis arranged for a lease extension just in the nick of time last July. Lewis and the landlord eventually settled on sum of £6,000 . If the lease had slid below eighty years, the price would have become more costly by at least £900.
In 2011 we were e-mailed by Mr and Mrs. Y Evans who, having owned a studio apartment in Fishponds in January 2001. The dilemma was if we could estimate the compensation to the landlord could be for a 90 year extension to my lease. Identical homes in Fishponds with an extended lease were worth £245,000. The average amount of ground rent was £50 invoiced yearly. The lease terminated on 13 March 2094. Taking into account 68 years left we estimated the premium to the landlord for the lease extension to be within £9,500 and £11,000 plus fees.
Mrs Poppy Baker moved into a ground floor apartment in Fishponds in November 1998. The question was if we could estimate the premium would likely be to prolong the lease by an additional years. Similar homes in Fishponds with an extended lease were valued around £285,000. The mid-range ground rent payable was £55 billed quarterly. The lease expiry date was on 20 November 2105. Having 79 years remaining we approximated the compensation to the landlord to extend the lease to be between £13,300 and £15,400 exclusive of legals.