The closer a domestic lease in Great Missenden nears to zero years unexpired, the the greater the reduction in the value of the property. If the residual term has, beyond 100 years remaining then this decrease may be of little impact that being said there will become a stage when a lease has fewer than eighty years left as part of the premium you will incur is what is known as a marriage value. This could be significant. It is the main rational as to why you should consider extending without delay. Many flat owners in Great Missenden will meet the qualifying criteria; nevertheless a conveyancer can advise if you qualify to extend your lease. In limited situations you may not qualify, the most frequent reason being that you have owned the property for under two years.
Leasehold properties in Great Missenden with more than 100 years left on the lease are sometimes referred to as ‘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 purchasing the reversionary interest unless savings on ground rent and estate charges warrant it.
| Lender | Requirement |
|---|---|
| Barnsley Building Society | 60 years from the date of the mortgage application subject to 35 years remaining at the end of the mortgage term. |
| 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. |
| 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. |
| Lloyds TSB Scotland | Minimum 70 years from the date of the mortgage. |
| 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 Great Missenden can be a difficult process. We recommend you secure guidance 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 a wealth of experience dealing with Great Missenden lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Isaac owned a high value apartment in Great Missenden being sold with a lease of just over 72 years outstanding. Isaac on an informal basis spoke with his freeholder being a well known London-based freehold company for a lease extension. The landlord indicated a willingness to grant an extension taking the lease to 125 years subject to a new rent at the outset set at £150 per annum and increase every twenty five years thereafter. No ground rent would be payable on a lease extension were Isaac to invoke his statutory right. Isaac obtained expert legal guidance and secured satisfactory resolution informally and readily saleable.
Last August we were called by Dr Kayleigh Moore , who bought a recently refurbished apartment in Great Missenden in January 2012. The dilemma was if we could approximate the price would be to prolong the lease by ninety years. Comparative premises in Great Missenden with a long lease were worth £264,000. The mid-range ground rent payable was £60 collected per annum. The lease finished in 2078. Having 53 years remaining we approximated the compensation to the freeholder for the lease extension to be within £37,100 and £42,800 not including expenses.
Last month we were e-mailed by Mrs V Norbert , who purchased a newly refurbished apartment in Great Missenden in September 2009. The question was if we could estimate the premium would likely be to prolong the lease by 90 years. Identical properties in Great Missenden with 100 year plus lease were worth £220,400. The mid-range amount of ground rent was £45 collected monthly. The lease terminated in 2089. Taking into account 64 years remaining we estimated the compensation to the freeholder for the lease extension to be within £16,200 and £18,600 exclusive of legals.