Owning a apartment usually means owning a lease of the property, which has a set term of years. your lease will ordinarily be granted for a prescribed period of time , ordinarily 99 or 125 years, although we have seen longer and shorter terms in Higham Ferrers. Clearly, the length of lease left shortens over time. This is often overlooked and only raises itself as an issue when the residence has to be disposed of or refinanced. The shorter the lease the less it is worth and the more it will cost to extend the lease. Eligible leaseholders in Higham Ferrers have the legal entitlement to extend the lease for a further 90 years under the 1993 Leasehold Reform Act. You should give due consideration before delaying your Higham Ferrers lease extension. Holding off that expense now likely increases the price you will eventually have to pay to extend your lease
Leasehold residencies in Higham Ferrers with more than one hundred years remaining on the lease are often referred to as ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your home. In such situations there is often little upside in purchasing the freehold unless savings on ground rent and estate charges justify it.
| 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. |
| Birmingham Midshires | 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. |
| TSB | Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption. |
| 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 Higham Ferrers can be a difficult process. We recommend you secure professional help 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 dealing with Higham Ferrers lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
After lengthy correspondence with the landlord of her garden apartment in Higham Ferrers, Danielle initiated the lease extension process just as her lease was approaching the all-important eighty-year mark. The lease extension completed in June 2011. The landlord’s charges were kept to an absolute minimum.
In 2011 we were approached by Dr L Campbell who, having acquired a recently refurbished apartment in Higham Ferrers in August 2006. The question was if we could shed any light on how much (approximately) premium would likely be for a 90 year lease extension. Comparable flats in Higham Ferrers with a long lease were valued about £183,600. The mid-range ground rent payable was £65 invoiced every twelve months. The lease elapsed on 21 February 2083. Given that there were 57 years left we estimated the compensation to the freeholder to extend the lease to be between £28,500 and £33,000 not including legals.
Last March we were contacted by Mrs Jessica Kelly , who owned a purpose-built apartment in Higham Ferrers in October 2001. We are asked if we could approximate the premium would likely be to prolong the lease by an additional years. Comparable properties in Higham Ferrers with an extended lease were in the region of £245,000. The mid-range amount of ground rent was £45 billed monthly. The lease ran out in 2094. Having 68 years outstanding we estimated the premium to the landlord to extend the lease to be between £9,500 and £11,000 not including legals.