As the length of the unexpired term of a Helsby domestic lease diminished so does its value and therefore the value of your property. If the lease has, beyond 100 years to run then this decrease may be negligible however there will become a point in time when a lease has under than eighty years unexpired as part of the premium you will incur is what is termed as a marriage value. This could increase sharply the cost. It is the main rational as to why you should extend the lease without delay. The majority of flat owners in Helsby will qualify for this right; however a conveyancer can advise if you are eligible for a lease extension. In limited situations you may not qualify, the most frequent reason being that you have owned the property for under two years.
Leasehold residencies in Helsby with over one hundred years remaining on the lease are often referred to as ‘virtual freehold’. This is where the lease value the same as a freehold interest in your property. In such situations there is often little to be gained by purchasing the reversionary interest unless savings on ground rent and maintenance charges justify it.
| Lender | Requirement |
|---|---|
| Bank of Scotland | Minimum 70 years from the date of the mortgage. |
| 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. |
| 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. |
| 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. |
The conveyancers that we work with undertake Helsby lease extensions and help protect your position. A lease extension can be arranged to be completed to coincide with a change of ownership so the costs of the lease extension are paid for using part of the sale proceeds. You really do need expert legal advice in this difficult and technical area of law. The conveyancer we work with provide it.
Tyler was the the leasehold proprietor of a high value flat in Helsby on the market with a lease of just over 72 years left. Tyler informally contacted his freeholder a well known London-based freehold company for a lease extension. The freeholder was prepared to give an extension on non-statutory terms taking the lease to 125 years subject to a new rent initially set at £100 per annum and doubled every twenty five years thereafter. No ground rent would be due on a lease extension were Tyler to invoke his statutory right. Tyler obtained expert legal guidance and secured satisfactory deal informally and readily saleable.
Last month we were called by Mr and Mrs. D Bertrand , who bought a purpose-built apartment in Helsby in April 1996. We are asked if we could shed any light on how much (approximately) price would likely be for a ninety year lease extension. Similar flats in Helsby with a long lease were valued around £189,000. The mid-range ground rent payable was £55 invoiced per annum. The lease ended on 6 June 2078. Given that there were 53 years left we approximated the compensation to the landlord for the lease extension to be within £28,500 and £33,000 plus legals.
In 2014 we were phoned by Dr Dexter Cook who, having purchased a one bedroom apartment in Helsby in February 2002. The dilemma was if we could approximate the price would likely be to extend the lease by 90 years. Comparative residencies in Helsby with an extended lease were worth £290,000. The mid-range amount of ground rent was £45 billed annually. The lease finished in 2098. Having 73 years as a residual term we approximated the premium to the landlord for the lease extension to be between £8,600 and £9,800 plus legals.