With a residential leasehold property in Lancing, you are actually purchasing an entitlement to live in a property for a set period of time. Modern flat leases typically tend to be for 99 years or 125. Even though this may appear like a long period of time, you should consider a lease extension sooner rather than later. Accepted thinking is that the shorter the number of years is the cost of extending the lease becomes disproportionately more expensive particularly once there are fewer than eighty years remaining. Anyone in Lancing with a lease approaching 81 years left should seriously think of extending it without delay. Once a lease has under 80 years outstanding, under the relevant statute the freeholder can calculate and charge a greater amount, assessed on a technical multiplication, strangely termed as “marriage value” which is payable.
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 further ninety years added to any lease with more than 35 years unexpired, the premises will be worth the same as a freehold for many years ahead.
| Lender | Requirement |
|---|---|
| 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. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
| 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 Lancing can be a difficult process. We recommend you secure 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 in-depth market knowledge procuring Lancing lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Seth was the the leasehold owner of a studio apartment in Lancing being marketed with a lease of a few days over fifty eight years left. Seth on an informal basis approached his landlord a well known local-based freehold company for a lease extension. The freeholder was prepared to agree an extension on non-statutory terms taking the lease to 125 years on the basis of a new rent initially set at £100 per annum and increase every twenty five years thereafter. Ordinarily, ground rent would not be due on a lease extension were Seth to invoke his statutory right. Seth obtained expert advice and secured satisfactory resolution informally and readily saleable.
Last Summer we were contacted by Ms Isobel Moreau , who purchased a one bedroom flat in Lancing in March 2008. We are asked if we could shed any light on how much (approximately) premium would likely be for a 90 year extension to my lease. Comparative properties in Lancing with an extended lease were valued around £235,200. The average ground rent payable was £45 billed monthly. The lease elapsed in 2091. Considering the 66 years as a residual term we calculated the compensation to the landlord for the lease extension to be within £12,400 and £14,200 not including fees.
Last year we were e-mailed by Dr Lauren Taylor , who took over the lease of a recently refurbished flat in Lancing in September 2008. We are asked if we could shed any light on how much (approximately) price would likely be to prolong the lease by 90 years. Comparative flats in Lancing with an extended lease were worth £275,000. The average ground rent payable was £55 collected yearly. The lease concluded on 21 February 2102. Taking into account 77 years left we calculated the premium to the freeholder for the lease extension to be within £13,300 and £15,400 not including professional charges.