As the length of the unexpired term of a Helsby residential lease decreases so does its value and therefore the value of your property. If the lease has, more than 99 years remaining then this decrease may be of little impact nevertheless there will become a stage when a lease has fewer than 80 years left as part of the premium you will incur is what is termed as a marriage value. This could be significant. It is the main rational as to why you should extend the lease sooner rather than later. The majority of flat owners in Helsby will meet the qualifying criteria; however a lawyer can advise if you are eligible to extend your lease. In certain situations you may not qualify, the most common reason being that you have owned the property for less than two years.
Leasehold premises in Helsby with over 100 years outstanding on the lease are sometimes referred to as ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your property. In such situations there is often little upside in buying the reversionary interest unless savings on ground rent and maintenance charges merit it.
| Lender | Requirement |
|---|---|
| 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. |
| Lloyds TSB Scotland | Minimum 70 years from the date of the mortgage. |
| TSB | Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption. |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
| Yorkshire 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. |
Lease extensions in Helsby can be a difficult process. We recommend you procure guidance from a lawyer and surveyor 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 a wealth of experience procuring Helsby lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Trailing unsuccessful negotiations with the landlord of her one bedroom apartment in Helsby, Rachel started the lease extension process as the 80 year deadline was swiftly nearing. The transaction was finalised in May 2006. The landlord’s costs were negotiated to below 550 GBP.
In 2010 we were called by Mr and Mrs. V Allen who, having moved into a garden apartment in Helsby in September 2004. We are asked if we could shed any light on how much (roughly) compensation to the landlord would be for a 90 year lease extension. Identical flats in Helsby with an extended lease were in the region of £280,000. The mid-range amount of ground rent was £45 collected every twelve months. The lease elapsed in 2095. Given that there were 69 years left we estimated the compensation to the freeholder to extend the lease to be between £12,400 and £14,200 plus professional charges.
Dr Mason Martinez owned a studio apartment in Helsby in October 2005. We are asked if we could approximate the premium would likely be for a 90 year extension to my lease. Comparable flats in Helsby with a long lease were worth £216,000. The mid-range ground rent payable was £60 collected every twelve months. The lease concluded in 2084. Given that there were 58 years outstanding we approximated the premium to the landlord for the lease extension to be within £28,500 and £33,000 exclusive of fees.