The value of Kirton in Lindsey leasehold residential property falls as the lease term becomes shorter and this will have an impact on its saleability. The cost of a lease extension can increase substantially once the remaining term is less than 80 years
It is generally accepted that a residential leasehold with more than one hundred years unexpired lease term is worth approximately the equivalent as a freehold. Where an further ninety years added to all but the shortest lease, the residence will be equivalent in value to a freehold for decades to come.
| Lender | Requirement |
|---|---|
| Bank of Scotland | Minimum 70 years from the date of the mortgage. |
| Barclays plc | Leases with less than 70 years at the commencement of the mortgage should be declined (see exception below). Leases with greater than 70 years but fewer than 85 years remaining must be referred to issuing office. Leases with fewer than 70 years should only be referred to the issuing office where the following scenario applies, as discretion may be applied subject to bank approval: • Property is located in any of the following prestigious developments: Cadogan, Crown, Grosvenor, Howard de Walden, Portman or Wellcome Trust Estates in Central London AND • The value of the property subject to the short remaining term is £500,000 or more AND • The loan to value does not exceed 90% for purchases, 90% like for like re-mortgages, 80% for re-mortgages with any element of capital raising and 80% for existing Barclays mortgage borrowers applying for additional borrowing; |
| 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. |
| Lloyds TSB Scotland | Minimum 70 years from the date of the mortgage. |
| National Westminster Bank | Mortgage term plus 30 years. For Shared Ownership, the remaining term of the lease must also be not less than 75 years at the outset of the mortgage. |
Lease extensions in Kirton in Lindsey can be a difficult process. We recommend you obtain 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 procuring Kirton in Lindsey 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 Nathaniel, came very close to the eighty-year mark with the lease on his purpose- built apartment in Kirton in Lindsey. In buying his home twenty years previously, the lease term was of little bearing. Fortunately, it dawned on him that he needed to take action soon on Extending the lease. Nathaniel was able to extend his lease at the eleventh hour in April. Nathaniel and the landlord ultimately agreed on the final figure of £6,000 . If the lease had gone below 80 years, the figure would have become more exhorbitant by at least £850.
Last October we were e-mailed by Dr I Moore , who was assigned a lease of a one bedroom apartment in Kirton in Lindsey in March 2001. The question was if we could shed any light on how much (approximately) price could be for a ninety year lease extension. Identical premises in Kirton in Lindsey with an extended lease were in the region of £280,000. The average ground rent payable was £55 billed per annum. The lease came to a finish in 2103. Having 78 years left we estimated the premium to the freeholder to extend the lease to be between £13,300 and £15,400 plus professional charges.
Last October we were approach by Mr and Mrs. I Wood , who was assigned a lease of a studio apartment in Kirton in Lindsey in September 2003. We are asked if we could approximate the premium could be to extend the lease by an additional years. Similar residencies in Kirton in Lindsey with 100 year plus lease were in the region of £186,000. The average amount of ground rent was £65 collected quarterly. The lease elapsed in 2083. Considering the 58 years remaining we estimated the premium to the freeholder for the lease extension to be between £24,700 and £28,600 not including legals.