Kineton leases on residential properties are gradually losing value. if your lease has approximately ninety years left, you should start considering the need for a lease extension. It is important to recognise that it is that it is desirable for your lease extension to take place before the term of the current lease dips below eighty years - otherwise a higher amount will be due. Flat owners in Kineton will usually qualify for a lease extension; however a solicitor should be able confirm your eligibility. In certain situations you may not be entitled. There are also strict deadlines and steps to follow once the process is initiated so it’s best to be guided by a conveyancing solicitor during the process.
Leasehold properties in Kineton with in excess of 100 years remaining 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 home. In such situations there is often little to be gained by purchasing the freehold unless savings on ground rent and service charges merit it.
| Lender | Requirement |
|---|---|
| Birmingham Midshires | 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. |
| 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. |
| 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. |
Lease extensions in Kineton can be a difficult process. We recommend you get guidance from a conveyancer 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 Kineton lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Following protracted discussions with the freeholder of her purpose-built flat in Kineton, Phoebe initiated the lease extension process as the eighty year mark was rapidly coming. The lease extension completed in April 2015. The landlord’s costs were negotiated to a tad over 450 GBP.
Last year we were e-mailed by Mr and Mrs. J André , who was assigned a lease of a one bedroom apartment in Kineton in February 2004. We are asked if we could estimate the compensation to the landlord would likely be to extend the lease by an additional years. Identical homes in Kineton with a long lease were valued about £235,200. The average ground rent payable was £45 billed every twelve months. The lease elapsed in 2092. Given that there were 66 years as a residual term we calculated the compensation to the freeholder to extend the lease to be within £12,400 and £14,200 exclusive of expenses.
Last Christmas we were approach by Mr V Sharif , who took over the lease of a newly refurbished flat in Kineton in May 2010. The dilemma was if we could shed any light on how much (approximately) premium could be for a ninety year extension to my lease. Similar premises in Kineton with an extended lease were worth £275,000. The average ground rent payable was £55 collected every twelve months. The lease termination date was on 14 October 2103. Taking into account 77 years unexpired we estimated the compensation to the freeholder for the lease extension to be within £13,300 and £15,400 exclusive of professional charges.