The only way is down when it comes to Grimsby lease terms. Grimsby properties that have a lease term fewer than eighty years will de-escalate in value at a rapid rate, and the cost to extend your lease will go up.
Leasehold premises in Grimsby with more than one hundred years left on the lease are often 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 buying the freehold unless savings on ground rent and maintenance 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. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
| Santander | If the property is leasehold, the remaining unexpired lease term at the end of the new mortgage term must be at least 50 years where any part of the mortgage is on Interest Only and 30 years if all loan parts are on Capital Repayment and Interest. You must report the unexpired lease term to us and await our instructions if:
|
| TSB | Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption. |
Lease extensions in Grimsby can be a difficult process. We recommend you get guidance from a conveyancing solicitor and valuer 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 procuring Grimsby lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Luca owned a conversion apartment in Grimsby on the market with a lease of just over sixty years unexpired. Luca on an informal basis approached his landlord being a well known London-based freehold company and enquired on a premium to extend the lease. The freeholder was keen to agree an extension on non-statutory terms taking the lease to 125 years on the basis of an increased rent to £200 annually. No ground rent would be payable on a lease extension were Luca to exercise his statutory right. Luca obtained expert advice and was able to make an informed judgement and handle with the matter and readily saleable.
Last year we were phoned by Mr and Mrs. I Roberts , who owned a basement apartment in Grimsby in August 1996. We are asked if we could shed any light on how much (approximately) premium would likely be to extend the lease by a further 90 years. Similar flats in Grimsby with a long lease were worth £280,000. The mid-range ground rent payable was £55 invoiced monthly. The lease end date was on 23 November 2104. Taking into account 78 years as a residual term we approximated the compensation to the freeholder to extend the lease to be between £13,300 and £15,400 exclusive of legals.
Last Spring we were called by Mrs B Norbert , who acquired a garden apartment in Grimsby in February 1995. The question was if we could shed any light on how much (roughly) compensation to the landlord would likely be for a 90 year extension to my lease. Similar homes in Grimsby with 100 year plus lease were in the region of £191,000. The average ground rent payable was £65 billed every twelve months. The lease ended in 2084. Considering the 58 years outstanding we calculated the compensation to the freeholder for the lease extension to be between £23,800 and £27,400 plus expenses.