The rule of thumb is, all other factors being equal, the shorter the lease the more expensive the premium. Qualifying leaseholders in Hessle have the legal entitlement to extend the lease for a further 90 years under legislation. Please give careful consideration before delaying your Hessle lease extension. Postponing that expense today simply increases the premium you will eventually have to pay for a lease extension.
It is conventional wisdom that a property with more than one hundred years unexpired lease term is worth approximately the same as a freehold. Where an further ninety years added to any lease with more than 35 years left, the residence will be worth the same as a freehold for many years in the future.
| Lender | Requirement |
|---|---|
| Barnsley Building Society | 60 years from the date of the mortgage application subject to 35 years remaining at the end of the mortgage term. |
| 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. |
| 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 |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
Lease extensions in Hessle can be a difficult process. We recommend you obtain guidance from a conveyancing solicitor 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 dealing with Hessle lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Two years ago Milo, came critically close to the 80-year threshold with the lease on his first floor flat in Hessle. In buying his home twenty years ago, the lease term was of no importance. As luck would have it, he recognised he needed to take steps soon on a lease extension. Milo was able to extend his lease just in the nick of time in July. Milo and the freeholder via the management company in the end settled on a premium of £6,000 . If he failed to meet the deadline, the sum would have gone up by a minimum £875.
Mr L Kelly moved into a garden apartment in Hessle in June 2005. We are asked if we could approximate the premium would be to extend the lease by a further 90 years. Comparative residencies in Hessle with 100 year plus lease were valued about £205,000. The mid-range ground rent payable was £50 invoiced yearly. The lease came to a finish in 2104. Given that there were 79 years unexpired we approximated the premium to the freeholder for the lease extension to be within £8,600 and £9,800 exclusive of professional charges.
Last month we were e-mailed by Mr Jonathan García , who took over the lease of a garden flat in Hessle in August 2006. The dilemma was if we could shed any light on how much (roughly) price would be to extend the lease by ninety years. Comparative residencies in Hessle with a long lease were worth £275,000. The mid-range amount of ground rent was £65 billed yearly. The lease concluded in 2093. Taking into account 68 years as a residual term we calculated the premium to the freeholder for the lease extension to be within £12,400 and £14,200 plus costs.