Ilkeston leases on domestic deteriorating in value. Where your lease has about ninety years left, you should start considering the need for a lease extension. 80 years is a significant number: when the unexpired term of a lease falls below this level then you start paying an additional element called marriage value. Flat owners in Ilkeston will usually qualify for a lease extension; however a solicitor should be able check your eligibility. In certain cases you may not qualify. There are prescribed deadlines and formalities to comply with once the process is triggered so it’s wise to be guided by a conveyancer during the process.
Leasehold properties in Ilkeston with more than one hundred years outstanding on the lease are sometimes referred to as ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your premises. In such circumstances there is often little to be gained by buying the freehold unless savings on ground rent and maintenance charges justify it.
| Lender | Requirement |
|---|---|
| Bank of Scotland | Minimum 70 years from the date of the mortgage. |
| 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. |
| Lloyds TSB Scotland | Minimum 70 years from the date of the mortgage. |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
Lease extensions in Ilkeston can be a difficult process. We recommend you get 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 a wealth of experience procuring Ilkeston lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Two years ago Teddy, started to get close to the eighty-year mark with the lease on his leasehold apartment in Ilkeston. Having bought his home 18 years previously, the length of the lease was of no bearing. Thankfully, he became aware that he needed to take action soon on a lease extension. Teddy was able to extend his lease just under the wire in August. Teddy and the freeholder via the management company ultimately agreed on sum of £5,000 . If the lease had dropped lower than 80 years, the sum would have gone up by a minimum £950.
Mr David Wright purchased a one bedroom flat in Ilkeston in October 2006. The question was if we could estimate the premium would likely be for a ninety year lease extension. Comparative flats in Ilkeston with an extended lease were valued around £243,000. The mid-range amount of ground rent was £65 invoiced per annum. The lease terminated in 2088. Having 63 years unexpired we estimated the compensation to the freeholder for the lease extension to be within £20,000 and £23,000 plus fees.
Last Christmas we were approach by Dr G Laurent , who bought a one bedroom apartment in Ilkeston in October 1997. The question was if we could approximate the premium could be for a 90 year extension to my lease. Identical properties in Ilkeston with 100 year plus lease were valued around £181,600. The mid-range ground rent payable was £55 collected monthly. The lease expired on 24 October 2077. Given that there were 52 years remaining we approximated the premium to the landlord to extend the lease to be within £30,400 and £35,200 exclusive of professional charges.