The nearer a residential lease in Heckmondwike nears to zero years unexpired, the the greater the reduction in the value of the property. If the residual term has, in excess of 125 years remaining then this decrease may be of little impact nevertheless there will become a point in time when a lease has under than 80 years remaining as part of the premium you will incur is what is known as a marriage value. This could be significant. It is the primary rational as to why you should extend the lease without delay. Most flat owners in Heckmondwike will meet the qualifying criteria; however a conveyancer should be able to confirm 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.
Leasehold premises in Heckmondwike with in excess of one hundred years left on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your property. In such circumstances there is often little to be gained by purchasing the reversionary interest unless savings on ground rent and maintenance charges justify it.
| 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. |
| Godiva Mortgages | 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. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
| National Westminster Bank | Mortgage term plus 30 years. |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
Lease extensions in Heckmondwike can be a difficult process. We recommend you procure guidance from a conveyancer and valuer 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 in-depth market knowledge procuring Heckmondwike lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Off the back of unsuccessful discussions with the landlord of her basement apartment in Heckmondwike, Isabella commenced the lease extension process just as the lease was approaching the crucial 80-year deadline. The lease extension was finalised in March 2005. The freeholder’s charges were negotiated to under 500 GBP.
Last Autumn we were approach by Mr S Wood , who took over the lease of a one bedroom flat in Heckmondwike in November 1996. The question was if we could estimate the price would be for a 90 year extension to my lease. Identical flats in Heckmondwike with a long lease were valued around £267,600. The mid-range ground rent payable was £65 invoiced per annum. The lease ran out on 24 August 2092. Having 67 years unexpired we approximated the compensation to the landlord for the lease extension to be between £14,300 and £16,400 plus costs.
In 2014 we were contacted by Mr and Mrs. N Lewis who, having moved into a one bedroom flat in Heckmondwike in March 1998. We are asked if we could shed any light on how much (roughly) premium could be for a 90 year extension to my lease. Comparable properties in Heckmondwike with a long lease were worth £206,200. The mid-range amount of ground rent was £55 billed monthly. The lease elapsed in 2081. Having 56 years unexpired we calculated the premium to the freeholder for the lease extension to be within £31,400 and £36,200 not including legals.