Why you should commence your Ilfracombe lease extension
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Main reasons to commence your Ilfracombe lease extension today:
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Increase your lease and increase your <a href="http://www.lendermonitor.com/conveyancing/loc/ilfracombe">Ilfracombe</a> property value </h4>
<p> Owning a flat usually means owning a lease of the property, this is a ‘time-limited’ interest becoming shorter every day. The lease will usually be granted for a prescribed period of time , usually 99 or 125 years, although we have seen longer and shorter terms in Ilfracombe. Clearly, the term of lease left reduces over time. This may pass by relatively unnoticed when the property has to be sold or re-mortgaged. The fewer the years remaining the lower the value of the property and the more it will cost to extend the lease. Qualifying leaseholders in Ilfracombe have the right to extend the lease for a further 90 years under the 1993 Leasehold Reform Act. You should give due attention before putting off your Ilfracombe lease extension. Putting off the cost now only increases the price you will eventually have to pay for a lease extension <h4>Ilfracombe property with a lease extension is almost the same value as a freehold</h4>
<p> It is generally accepted that a property with over one hundred years remaining is worth approximately the equivalent as a freehold. Where an additional ninety years added to any lease with more than 35 years left, the premises will be worth the same as a freehold for many years in the future.
<h4>Lenders will not finance a property on a short lease</h4> Mortgage companies are tightening their criteria and a meaningful number now want flats to have at least sixty if not seventy years remaining at the end of the mortgage. Considering a number of flats in Ilfracombe were built in the fifties, sixties and seventies this means many now require lease extensions if they wish to obtain a mortgage.
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<tr><th>Lender</th>
<th> Requirement
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<td>Halifax</td>
<td> Minimum 70 years from the date of the mortgage.
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<td>Leeds Building Society</td>
<td> 85 years remaining from the start of the mortgage.
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<td>Lloyds TSB Scotland</td>
<td> Minimum 70 years from the date of the mortgage.
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<td>Skipton Building Society</td>
<td> 85 years from the date of completion of the mortgage<br /><br />For Buy to Let cases:<br />- lettings must not breach any of the lessee’s covenants; and<br />- consent of the lessor to lettings must be obtained if necessary
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<td>Royal Bank of Scotland</td>
<td> Mortgage term plus 30 years.
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<h4> Get in touch with one of our Ilfracombe lease extension solicitors or enfranchisement solicitors
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The conveyancing solicitors that we work with procure Ilfracombe lease extensions and help protect your position. A lease extension can be arranged to be completed to coincide with a change of ownership so the costs of the lease extension are paid for using part of the sale proceeds. You really do need expert legal advice in this difficult and technical area of law. The conveyancing solicitor we work with provide it.
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Ilfracombe Lease Extension Case Summaries:
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<h5> Jennifer, Ilfracombe, Devon,</h5>
<p> Off the back of unsuccessful correspondence with the landlord of her ground floor apartment in Ilfracombe, Jennifer commenced the lease extension process as the eighty year mark was swiftly coming. The transaction was concluded in October 2007. The landlord’s fees were restricted to below 500 pounds.
<h5>Ilfracombe case:</h5>
<p> Mr P Phillips owned a purpose-built flat in Ilfracombe in November 1997. We are asked if we could approximate the compensation to the landlord could be to extend the lease by 90 years. Identical premises in Ilfracombe with a long lease were in the region of £257,800. The average amount of ground rent was £65 invoiced annually. The lease ended on 13 September 2091. Given that there were 65 years unexpired we calculated the compensation to the freeholder to extend the lease to be within £18,100 and £20,800 exclusive of legals.
<h5>Ilfracombe case:</h5>
<p> Mr Leo Flores owned a purpose-built apartment in Ilfracombe in January 2006. We are asked if we could shed any light on how much (roughly) premium could be for a ninety year lease extension. Similar properties in Ilfracombe with 100 year plus lease were worth £196,400. The mid-range ground rent payable was £55 billed annually. The lease finished on 23 October 2080. Having 54 years remaining we estimated the compensation to the freeholder to extend the lease to be between £35,200 and £40,600 exclusive of legals.
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