When it comes to residential leasehold property in Laindon, you are in fact renting it for a certain period of time. In recent years flat leases are usually granted for 99 years or 125. Even though this may appear like a lengthy period of time, you may think about a lease extension sooner rather than later. Accepted thinking is that the shorter the lease is the cost of extending the lease gets disproportionately greater especially when there are fewer than eighty years remaining. Leasehold owners in Laindon with a lease nearing 81 years left should seriously think of extending it as soon as possible. When a lease has under 80 years remaining, under the relevant legislation the landlord can calculate and levy a larger premium, based on a technical calculation, known as “marriage value” which is due.
It is conventional wisdom that a residential leasehold with over 100 years remaining is worth roughly the same as a freehold. Where an further ninety years added to all but the shortest lease, the residence will be worth the same as a freehold for decades to come.
| Lender | Requirement |
|---|---|
| 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. |
| Godiva Mortgages | 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. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
| Skipton Building Society | 85 years from the date of completion of the mortgage For Buy to Let cases: - lettings must not breach any of the lessee’s covenants; and - consent of the lessor to lettings must be obtained if necessary |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
Irrespective of whether you are a tenant or a landlord in Laindon,the lease extension solicitors that we work with will always be happy to discuss any residential leasehold matters and offer you the benefit of their experience and the close ties they enjoy with Laindon valuers.
Trailing lengthy negotiations with the freeholder of her purpose-built flat in Laindon, Chantelle commenced the lease extension process as the eighty year deadline was rapidly advancing. The legal work was finalised in August 2008. The landlord’s charges were kept to an absolute minimum.
Ms C Bonnet owned a studio flat in Laindon in October 2011. We are asked if we could approximate the compensation to the landlord would likely be to extend the lease by 90 years. Comparative premises in Laindon with 100 year plus lease were valued around £254,200. The average ground rent payable was £60 invoiced quarterly. The lease expired in 2077. Taking into account 51 years left we estimated the compensation to the freeholder to extend the lease to be within £43,700 and £50,600 not including expenses.
Dr Rebecca Phillips bought a garden flat in Laindon in April 1995. We are asked if we could estimate the compensation to the landlord could be to extend the lease by a further 90 years. Identical residencies in Laindon with an extended lease were in the region of £210,600. The average ground rent payable was £45 invoiced annually. The lease came to a finish in 2088. Given that there were 62 years unexpired we calculated the compensation to the freeholder for the lease extension to be within £18,100 and £20,800 plus fees.