The only way is down when it comes to Holsworthy lease terms. Holsworthy leaseholds that have a residual term shorter than 80 years will drop in value even faster, and the cost to extend your lease will rise.
It is generally accepted that a residential leasehold with over one hundred years unexpired lease term is worth approximately the equivalent as a freehold. Where an further ninety years added to all but the shortest lease, the residence will be worth the same as a freehold for many years in the future.
| Lender | Requirement |
|---|---|
| Barclays plc | Leases with less than 70 years at the commencement of the mortgage should be declined (see exception below). Leases with greater than 70 years but fewer than 85 years remaining must be referred to issuing office. Leases with fewer than 70 years should only be referred to the issuing office where the following scenario applies, as discretion may be applied subject to bank approval: • Property is located in any of the following prestigious developments: Cadogan, Crown, Grosvenor, Howard de Walden, Portman or Wellcome Trust Estates in Central London AND • The value of the property subject to the short remaining term is £500,000 or more AND • The loan to value does not exceed 90% for purchases, 90% like for like re-mortgages, 80% for re-mortgages with any element of capital raising and 80% for existing Barclays mortgage borrowers applying for additional borrowing; |
| 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. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
| 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 Holsworthy can be a difficult process. We recommend you get guidance from a conveyancer 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 in-depth market knowledge procuring Holsworthy lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Subsequent to lengthy negotiations with the freeholder of her garden apartment in Holsworthy, Lydia initiated the lease extension process as the eighty year mark was swiftly advancing. The lease extension completed in February 2014. The landlord’s fees were negotiated to about 700 pounds.
Last Winter we were contacted by Ms Poppy Lewis , who owned a ground floor apartment in Holsworthy in January 1997. We are asked if we could shed any light on how much (roughly) compensation to the landlord could be for a ninety year extension to my lease. Similar properties in Holsworthy with an extended lease were worth £193,400. The mid-range ground rent payable was £65 collected quarterly. The lease elapsed in 2084. Given that there were 59 years left we approximated the compensation to the freeholder to extend the lease to be within £21,900 and £25,200 not including legals.
Dr Nathaniel Brown acquired a one bedroom flat in Holsworthy in November 1999. We are asked if we could estimate the compensation to the landlord would be to prolong the lease by an additional years. Comparative premises in Holsworthy with an extended lease were in the region of £250,000. The mid-range ground rent payable was £50 collected per annum. The lease ran out in 2095. Considering the 70 years as a residual term we approximated the premium to the landlord to extend the lease to be within £9,500 and £11,000 plus fees.