The nearer a domestic lease in Frenchay nears to zero years unexpired, the the greater the reduction in the value of the property. If the residual term has, over 100 years to run then this decrease may be of little impact that being said there will become a point in time when a lease has under than 80 years remaining as part of the premium you will incur is what is termed as a marriage value. This could be significant. It is the main logic behind why you should consider extending without delay. Many flat owners in Frenchay will qualify for this right; that being said a conveyancing solicitor should be able to confirm whether you qualify to extend your lease. In limited situations you may not qualify, the most frequent reason being that you have not been the owner of the property for two years.
Leasehold premises in Frenchay with more than 100 years left on the lease are often referred to as ‘virtual freehold’. This is where the lease value the same as a freehold interest in your property. In such circumstances there is often little to be gained by purchasing the freehold unless savings on ground rent and estate charges justify it.
| Lender | Requirement |
|---|---|
| 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. |
| Halifax | Minimum 70 years from the date of the mortgage. |
| National Westminster Bank | Mortgage term plus 30 years. |
| 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. |
The conveyancers that we work with undertake Frenchay 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 lawyer we work with provide it.
Off the back of unsuccessful negotiations with the landlord of her basement apartment in Frenchay, Rosie started the lease extension process as the 80 year threshold was fast advancing. The lease extension completed in March 2009. The landlord’s charges were restricted to a tad over 450 GBP.
Dr Arthur Lefebvre completed a basement apartment in Frenchay in September 2004. The question was if we could approximate the premium could be for a ninety year lease extension. Comparable residencies in Frenchay with 100 year plus lease were valued around £205,000. The average amount of ground rent was £50 invoiced per annum. The lease expired on 17 September 2104. Considering the 79 years left we approximated the premium to the freeholder to extend the lease to be within £7,600 and £8,800 plus expenses.
Last year we were e-mailed by Mr and Mrs. M Dupont , who acquired a one bedroom apartment in Frenchay in September 1996. The question was if we could shed any light on how much (roughly) compensation to the landlord would likely be for a ninety year extension to my lease. Identical flats in Frenchay with 100 year plus lease were valued around £275,000. The mid-range ground rent payable was £65 invoiced quarterly. The lease terminated in 2093. Having 68 years outstanding we approximated the compensation to the landlord to extend the lease to be between £12,400 and £14,200 not including expenses.