The only way is down when it comes to Kemp Town lease terms. Kemp Town leaseholds that have a lease term less than than eighty years will de-escalate in value at a rapid rate, and the cost of extending your lease will rise.
It is conventional wisdom that a property with in excess of one hundred years remaining is worth roughly the same as a freehold. Where an additional 90 years added to all but the shortest lease, the property will be equivalent in value to a freehold for many years ahead.
| Lender | Requirement |
|---|---|
| Bank of Scotland | Minimum 70 years from the date of the mortgage. |
| Halifax | Minimum 70 years from the date of the mortgage. |
| Lloyds TSB Scotland | Minimum 70 years from the date of the mortgage. |
| National Westminster Bank | Mortgage term plus 30 years. |
| 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. |
Using our service will provide you better control over the value of your Kemp Town leasehold, as your property will be more valuable and marketable in relation to the lease length should you wish to sell. The lawyers that we work with are well versed in the legislation handling many hundreds of lease extensions or freehold purchase transactions.
Following lengthy negotiations with the landlord of her ground floor apartment in Kemp Town, Jodie initiated the lease extension process just as her lease was coming close to the all-important 80-year deadline. The lease extension completed in June 2015. The freeholder’s costs were restricted to under 700 GBP.
Mrs G Wright moved into a studio flat in Kemp Town in November 2003. The question was if we could approximate the compensation to the landlord could be to prolong the lease by 90 years. Similar properties in Kemp Town with 100 year plus lease were in the region of £191,400. The average amount of ground rent was £55 invoiced yearly. The lease terminated on 24 June 2079. Given that there were 54 years left we calculated the compensation to the freeholder for the lease extension to be within £34,200 and £39,600 plus fees.
In 2014 we were approached by Mrs Jennifer Clark who, having moved into a studio apartment in Kemp Town in September 2005. The question was if we could estimate the compensation to the landlord would be to prolong the lease by a further 90 years. Identical homes in Kemp Town with a long lease were worth £295,000. The average amount of ground rent was £45 billed annually. The lease came to a finish on 15 May 2099. Taking into account 74 years unexpired we estimated the compensation to the landlord for the lease extension to be within £9,500 and £11,000 plus fees.