The closer a domestic lease in Fulwood nears to zero years unexpired, the the greater the reduction in the value of the property. If the lease has, more than 125 years remaining then this decrease may be fractional nevertheless there will become a stage when a lease has fewer than eighty years remaining as part of the premium you will incur is what is known as a marriage value. This could increase sharply the cost. It is the primary reason why you should consider extending without delay. Most flat owners in Fulwood will qualify for this right; that being said a conveyancing solicitor can confirm if you are eligible for a lease extension. In certain situations you may not qualify, the most common reason being that you have owned the property for under two years.
Leasehold premises in Fulwood with over 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 property. In such circumstances there is often little upside in purchasing the reversionary interest unless savings on ground rent and service charges justify it.
| Lender | Requirement |
|---|---|
| Bank of Scotland | Minimum 70 years from the date of the mortgage. |
| 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. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
Regardless of whether you are a tenant or a landlord in Fulwood,the lease extension solicitors that we work with will always be willing to discuss any residential leasehold matters and offer you the benefit of their experience and the close ties they enjoy with Fulwood valuers.
14 months ago Riley, came seriously near to the 80-year threshold with the lease on his ground floor flat in Fulwood. Having bought his property two decades ago, the unexpired term was of little bearing. Luckily, he noticed he needed to take steps soon on a lease extension. Riley arranged for a lease extension just in the nick of time in March. Riley and the freeholder via the management company subsequently agreed on sum of £5,500 . If the lease had fallen lower than 80 years, the price would have gone up by at least £950.
In 2012 we were contacted by Mr and Mrs. O Martinez who, having completed a basement flat in Fulwood in February 2012. The dilemma was if we could shed any light on how much (roughly) price would likely be to extend the lease by an additional years. Comparable homes in Fulwood with a long lease were worth £227,800. The mid-range ground rent payable was £45 invoiced monthly. The lease ran out in 2090. Having 65 years remaining we calculated the premium to the freeholder to extend the lease to be within £13,300 and £15,400 exclusive of legals.
In 2012 we were approached by Mr L Turner who, having acquired a one bedroom flat in Fulwood in January 2008. We are asked if we could shed any light on how much (roughly) premium could be to prolong the lease by an additional years. Comparative homes in Fulwood with a long lease were valued about £275,000. The average ground rent payable was £55 invoiced annually. The lease concluded on 5 August 2101. Having 76 years as a residual term we calculated the compensation to the landlord for the lease extension to be between £9,500 and £11,000 plus fees.