The basic rule is, all other things holding equal, the shorter the lease the more expensive the premium. Qualifying leaseholders in Forty Hill can extend the lease for a further 90 years under legislation. Do give careful consideration before delaying your Forty Hill lease extension. Putting off that expense today simply increases the price you will ultimately have to pay to extend the lease.
Leasehold residencies in Forty Hill with in excess of one hundred years outstanding on the lease are often regarded as a ‘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 to be gained by buying the freehold unless savings on ground rent and service charges justify 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. |
| 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. |
| 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 |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
Lease extensions in Forty Hill can be a difficult process. We recommend you get guidance from a conveyancer and surveyor 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 in-depth market knowledge dealing with Forty Hill lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
In recent months Alex, started to get close to the 80-year threshold with the lease on his garden apartment in Forty Hill. Having purchased his flat twenty years ago, the lease term was of minimal interest. As luck would have it, he recognised he needed to take action soon on a lease extension. Alex arranged for a lease extension just under the wire in August. Alex and the freeholder ultimately agreed on the final figure of £5,000 . If he had missed the deadline, the premium would have gone up by at least £1,025.
Last Spring we were approach by Mr P Johnson , who moved into a one bedroom flat in Forty Hill in August 2006. We are asked if we could approximate the premium would likely be to extend the lease by ninety years. Comparative flats in Forty Hill with a long lease were valued around £300,000. The average ground rent payable was £50 collected every twelve months. The lease elapsed on 20 August 2101. Given that there were 75 years left we calculated the premium to the freeholder to extend the lease to be between £9,500 and £11,000 not including professional charges.
An example of a Lease Extension decision for a Forty Hill premises is First Floor Flat 109 Lyndhurst Road in May 2010. Following a vesting order by Edmonton County Court on 29th October 2009 the Tribunal decided on a figure of £5,012 for a lease extension. This case affected 1 flat. The unexpired term was 81.79 years.