The only way is down when it comes to Flackwell Heath lease terms. Flackwell Heath properties that have a residual term fewer than eighty years will reduce in value even faster, and the cost to extend your lease will increase.
It is conventional wisdom that a property with more than one hundred years remaining is worth roughly the same as a freehold. Where an additional 90 years added to all but the shortest lease, the premises will be equivalent in value to a freehold for many years in the future.
| Lender | Requirement |
|---|---|
| Birmingham Midshires | Minimum 70 years from the date of the mortgage. |
| 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. |
| 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 |
| 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. |
Lease extensions in Flackwell Heath can be a difficult process. We recommend you secure professional help from a conveyancing solicitor and surveyor with experience in this area.
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 in-depth market knowledge dealing with Flackwell Heath lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Last October Nathan, came critically near to the 80-year mark with the lease on his first floor apartment in Flackwell Heath. In buying his property twenty years ago, the unexpired term was of minimal importance. by good luck, it dawned on him that he would soon be paying way over the odds for Extending the lease. Nathan arranged for a lease extension at the eleventh hour in January. Nathan and the freeholder via the management company subsequently agreed on an amount of £6,000 . If he failed to meet the deadline, the price would have increased by a minimum £1,100.
Ms D Davies purchased a purpose-built apartment in Flackwell Heath in March 2007. We are asked if we could estimate the premium could be for a ninety year extension to my lease. Identical properties in Flackwell Heath with a long lease were in the region of £198,800. The average amount of ground rent was £55 collected monthly. The lease ended on 12 February 2081. Given that there were 55 years as a residual term we calculated the compensation to the landlord to extend the lease to be between £33,300 and £38,400 not including fees.
In 2014 we were e-mailed by Mrs M Howard who, having was assigned a lease of a basement flat in Flackwell Heath in June 2010. The question was if we could shed any light on how much (roughly) price would be for a 90 year lease extension. Comparative residencies in Flackwell Heath with 100 year plus lease were valued around £300,000. The average amount of ground rent was £50 billed per annum. The lease ended in 2101. Having 75 years remaining we approximated the premium to the landlord to extend the lease to be within £8,600 and £9,800 exclusive of legals.