When it comes to residential leasehold premises in Hoylake, you effectively rent it for a certain period of time. These days flat leases typically tend to be for 99 years or 125. Many leasehold owners become complacent as this seems like a long period of time, you should consider extending the lease sooner as opposed to later. Accepted thinking is that the shorter the lease is the cost of extending the lease increases markedly especially when there are fewer than eighty years remaining. Anyone in Hoylake with a lease drawing near to 81 years unexpired should seriously think of extending it as soon as possible. When the lease term has below eighty years remaining, under the relevant statute the freeholder can calculate and demand a greater premium, assessed on a technical multiplication, known as “marriage value” which is due.
Leasehold premises in Hoylake with over one hundred years unexpired on the lease are sometimes referred to as ‘virtual freehold’. This is where the lease value the same as a freehold interest in your premises. In such situations there is often little to be gained by purchasing the reversionary interest unless savings on ground rent and estate charges warrant it.
| Lender | Requirement |
|---|---|
| Bank of Scotland | Minimum 70 years from the date of the mortgage. |
| Leeds Building Society | 85 years remaining from the start 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 Hoylake can be a difficult process. We recommend you secure professional help from a lawyer and valuer 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 dealing with Hoylake lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Last Autumn Reuben, came critically close to the eighty-year mark with the lease on his studio flat in Hoylake. In buying his property two decades ago, the length of the lease was of no concern. Luckily, he recognised he would soon be paying an inflated amount for a lease extension. Reuben arranged for a lease extension just ahead of time in September. Reuben and the landlord eventually agreed on a premium of £5,000 . If he failed to meet the deadline, the premium would have increased by a minimum £1,000.
Last Winter we were phoned by Mr and Mrs. M Alexander , who owned a one bedroom flat in Hoylake in August 2000. The question was if we could shed any light on how much (approximately) premium would likely be to extend the lease by a further 90 years. Identical homes in Hoylake with a long lease were worth £198,800. The average amount of ground rent was £55 collected per annum. The lease came to a finish in 2080. Having 55 years remaining we approximated the compensation to the freeholder to extend the lease to be within £33,300 and £38,400 not including expenses.
Dr Sian Flores moved into a newly refurbished flat in Hoylake in February 2010. We are asked if we could shed any light on how much (approximately) premium could be for a 90 year extension to my lease. Comparative premises in Hoylake with 100 year plus lease were in the region of £295,000. The average ground rent payable was £50 collected quarterly. The lease elapsed in 2100. Having 75 years outstanding we estimated the compensation to the landlord for the lease extension to be within £8,600 and £9,800 plus fees.