Hinton St George leases on residential properties are gradually losing value. Where your lease has in the region of ninety years left, you should start considering the need for a lease extension. An important point to note is that it is desirable for the lease extension to take place before the term of the current lease dips lower than 80 years - otherwise a higher premium will be due. Flat owners in Hinton St George will mostly qualify for a lease extension; however a solicitor will confirm your eligibility. In some situations you may not be entitled. There are also strict timetables and steps to follow once the process has started so it’s best to be guided by a lawyer during the process.
Leasehold premises in Hinton St George with in excess of one hundred years left on the lease are often regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your home. In such circumstances there is often little to be gained by buying the reversionary interest unless savings on ground rent and service charges merit 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. |
| Chelsea 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. |
| 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. |
| 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. |
Retaining our service will provide you enhanced control over the value of your Hinton St George leasehold, as your property will be more valuable and saleable in respect of lease length should you wish to sell. The conveyancing solicitors that we work with have a wealth of experience of handling many hundreds of lease extensions or freehold purchase transactions.
Trailing protracted negotiations with the landlord of her one bedroom flat in Hinton St George, Rachael commenced the lease extension process just as her lease was coming close to the all-important 80-year deadline. The legal work was concluded in September 2014. The landlord’s costs were negotiated to approximately 550 pounds.
In 2010 we were called by Mr Jacob Morel who, having purchased a garden flat in Hinton St George in October 2011. The dilemma was if we could estimate the compensation to the landlord would be to prolong the lease by ninety years. Identical premises in Hinton St George with a long lease were worth £285,000. The mid-range amount of ground rent was £45 collected per annum. The lease end date was on 27 October 2097. Given that there were 71 years remaining we calculated the compensation to the landlord for the lease extension to be within £12,400 and £14,200 plus fees.
Mr and Mrs. L Carter acquired a first floor flat in Hinton St George in June 2000. We are asked if we could shed any light on how much (roughly) compensation to the landlord would likely be for a ninety year extension to my lease. Similar premises in Hinton St George with an extended lease were valued about £225,800. The mid-range amount of ground rent was £60 invoiced per annum. The lease finished in 2086. Considering the 60 years unexpired we approximated the compensation to the landlord to extend the lease to be within £24,700 and £28,600 exclusive of expenses.