The closer a domestic lease in Haslington gets to zero years unexpired, the the greater the reduction in the value of the property. If the lease has, over one hundred years remaining then this decrease may be of little impact nevertheless there will become a point in time 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 increase sharply the cost. It is the primary logic behind why you should consider extending sooner rather than later. Most flat owners in Haslington will meet the qualifying criteria; nevertheless a lawyer will be able to confirm whether you are eligible to extend your lease. In certain situations you may not qualify, the most frequent reason being that you have owned the property for less than two years.
It is conventional wisdom that a residential leasehold with over 100 years unexpired lease term is worth approximately the equivalent as a freehold. Where an further 90 years added to any lease with more than 35 years remaining, the premises will be worth the same as a freehold for decades to come.
| 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. |
| Lloyds TSB Scotland | Minimum 70 years from the date of the mortgage. |
| Santander | You must report the unexpired lease term to us and await our instructions if: 1. the unexpired term assumed by our valuer is between 55 and 82 years, but the actual unexpired term differs by more than one year (whether longer or shorter); or 2. the unexpired term assumed by our valuer is more than 82 years but the actual unexpired term is less than 82 years; or 3. no valuation report is provided However, we will not accept a lease where on expiry of the mortgage: (i) less than 50 years remain and all or part of the loan is repaid on an interest-only basis: or (ii) less than 30 years remain and the loan is repaid on a capital and interest basis We will accept a lease that has been extended under the provisions of the Leasehold Reform Act 1993 provided statutory compensation would be available to the leaseholder. |
| Skipton Building Society | 85 years from the date of completion of the mortgage For Buy to Let cases: - lettings must not breach any of the lessee’s covenants; and - consent of the lessor to lettings must be obtained if necessary |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
Irrespective of whether you are a tenant or a landlord in Haslington,the lease extension experts that we work with will always be willing to discuss any residential leasehold matters and offer you the benefit of their in-depth market knowledge and the close ties they enjoy with Haslington valuers.
In the wake of eight months of protracted negotiations with the freeholder of her purpose-built flat in Haslington, Natasha commenced the lease extension process as the eighty year deadline was rapidly advancing. The legal work was finalised in April 2005. The landlord’s fees were kept to an absolute minimum.
In 2013 we were phoned by Dr Alexander Moreau who, having moved into a one bedroom flat in Haslington in October 1996. We are asked if we could approximate the compensation to the landlord could be for a 90 year lease extension. Comparable premises in Haslington with a long lease were valued around £275,000. The mid-range ground rent payable was £45 collected monthly. The lease elapsed on 17 February 2094. Considering the 69 years as a residual term we approximated the premium to the freeholder to extend the lease to be between £12,400 and £14,200 not including professional charges.
In 2009 we were called by Mr and Mrs. A Young who, having was assigned a lease of a ground floor apartment in Haslington in February 1999. We are asked if we could approximate the price would likely be for a ninety year lease extension. Comparable homes in Haslington with an extended lease were valued about £216,000. The mid-range amount of ground rent was £60 collected monthly. The lease ended on 28 May 2083. Considering the 58 years as a residual term we calculated the premium to the freeholder to extend the lease to be within £28,500 and £33,000 exclusive of professional charges.