Heckmondwike leases on residential properties are gradually losing value. The shorter the remaining lease term becomes, the less it is worth – and as a result any extension of your lease becomes more expensive. Most owners of residential leasehold property in Heckmondwike enjoy rights under legislation to extend the terms of their leases. If you are a leasehold owner in Heckmondwike you should see if your lease has between 70 and 90 years left. In particular once the remaining lease term slips under 80 years, the cost of any lease extension increases dramatically as part of the premium you pay is what is known as a marriage value
It is generally accepted that a property with in excess of 100 years remaining is worth approximately the same as a freehold. Where an additional ninety years added to all but the shortest lease, the property will be worth the same as a freehold for decades to come.
| Lender | Requirement |
|---|---|
| Accord Mortgages | 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. |
| Bank of Scotland | Minimum 70 years from the date of the mortgage. |
| Barclays plc | Leases with less than 70 years at the commencement of the mortgage should be declined (see exception below). Leases with greater than 70 years but fewer than 85 years remaining must be referred to issuing office. Leases with fewer than 70 years should only be referred to the issuing office where the following scenario applies, as discretion may be applied subject to bank approval: • Property is located in any of the following prestigious developments: Cadogan, Crown, Grosvenor, Howard de Walden, Portman or Wellcome Trust Estates in Central London AND • The value of the property subject to the short remaining term is £500,000 or more AND • The loan to value does not exceed 90% for purchases, 90% like for like re-mortgages, 80% for re-mortgages with any element of capital raising and 80% for existing Barclays mortgage borrowers applying for additional borrowing; |
| Barnsley Building Society | 60 years from the date of the mortgage application subject to 35 years remaining at the end of the mortgage term. |
| National Westminster Bank | Mortgage term plus 30 years. For Shared Ownership, the remaining term of the lease must also be not less than 75 years at the outset of the mortgage. |
Lease extensions in Heckmondwike can be a difficult process. We recommend you procure professional help from a conveyancing solicitor and surveyor with experience in lease extensions.
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 Heckmondwike lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
In the wake of 6 months of lengthy negotiations with the landlord of her two bedroom apartment in Heckmondwike, Georgina initiated the lease extension process just as the lease was approaching the critical 80-year mark. The lease extension was concluded in February 2008. The landlord’s fees were restricted to a tad over 450 pounds.
In 2012 we were contacted by Mr and Mrs. U Carter who, having took over the lease of a basement apartment in Heckmondwike in September 2007. We are asked if we could approximate the compensation to the landlord would likely be for a ninety year extension to my lease. Comparable homes in Heckmondwike with a long lease were worth £285,000. The mid-range ground rent payable was £45 billed yearly. The lease concluded in 2096. Having 71 years unexpired we estimated the premium to the freeholder for the lease extension to be between £12,400 and £14,200 plus legals.
Last Summer we were contacted by Dr E Parker , who was assigned a lease of a studio apartment in Heckmondwike in August 2003. We are asked if we could estimate the price could be for a ninety year extension to my lease. Comparable premises in Heckmondwike with 100 year plus lease were worth £225,800. The mid-range amount of ground rent was £60 collected yearly. The lease concluded in 2085. Taking into account 60 years remaining we estimated the premium to the freeholder for the lease extension to be within £23,800 and £27,400 not including costs.