As the length of the unexpired term of a Gosport residential lease diminished so does its value and therefore the value of your property. Where the residual term has, beyond 100 years remaining then this decrease may be fractional nevertheless there will become a point in time when a lease has under than eighty 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 rational as to why you should extend the lease sooner than later. Most flat owners in Gosport will meet the qualifying criteria; however a conveyancer can advise whether you qualify to extend your lease. In certain situations you may not qualify, the most frequent reason being that you have not been the owner of the property for two years.
It is conventional wisdom that a property with in excess of 100 years unexpired lease term is worth approximately the equivalent as a freehold. Where an additional ninety years added to all but the shortest lease, the residence will be worth the same as a freehold for many years in the future.
| Lender | Requirement |
|---|---|
| Bank of Scotland | 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. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
| Lloyds TSB Scotland | Minimum 70 years from the date of the mortgage. |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
Lease extensions in Gosport can be a difficult process. We recommend you obtain professional help from a conveyancing solicitor 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 a wealth of experience procuring Gosport lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Arthur was the the leasehold owner of a high value apartment in Gosport on the market with a lease of just over 61 years unexpired. Arthur informally approached his freeholder being a well known local-based freehold company and enquired on a premium to extend the lease. The freeholder indicated a willingness to extend the lease to 125 years on the basis of a rise in the rent to £125 annually. No ground rent would be payable on a lease extension were Arthur to exercise his statutory right. Arthur procured expert legal guidance and was able to make an informed judgement and handle with the matter and ending up with a market value flat.
Last June we were called by Mr and Mrs. H Peterson , who moved into a purpose-built flat in Gosport in January 2001. The dilemma was if we could estimate the compensation to the landlord would be for a 90 year extension to my lease. Similar premises in Gosport with a long lease were in the region of £250,400. The average amount of ground rent was £65 collected per annum. The lease came to a finish in 2089. Taking into account 64 years as a residual term we approximated the premium to the freeholder to extend the lease to be within £19,000 and £22,000 not including costs.
Last year we were phoned by Ms S Mason , who completed a one bedroom flat in Gosport in February 2006. The question was if we could approximate the premium could be to prolong the lease by an additional years. Identical premises in Gosport with an extended lease were worth £184,000. The mid-range ground rent payable was £55 invoiced monthly. The lease termination date was in 2078. Considering the 53 years unexpired we approximated the premium to the freeholder to extend the lease to be within £28,500 and £33,000 exclusive of expenses.