The rule of thumb is, all other factors being equal, the shorter the lease the more costly the premium. Qualifying leaseholders in Langham have the right to extend the lease for a further 90 years in accordance with Leasehold Reform legislation. Please give careful consideration before delaying your Langham lease extension. Shelving the costs today simply escalates the price you will eventually be required to pay to extend the lease.
Leasehold residencies in Langham with more than one hundred years remaining on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your property. In such situations there is often little to be gained by buying the freehold unless savings on ground rent and maintenance charges justify it.
| Lender | Requirement |
|---|---|
| Bank of Scotland | Minimum 70 years from the date of the mortgage. |
| Barnsley Building Society | 60 years from the date of the mortgage application subject to 35 years remaining at the end of the mortgage term. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
| Santander | You must report the unexpired lease term to us and await our instructions if: 1. the unexpired term assumed by our valuer is between 55 and 82 years, but the actual unexpired term differs by more than one year (whether longer or shorter); or 2. the unexpired term assumed by our valuer is more than 82 years but the actual unexpired term is less than 82 years; or 3. no valuation report is provided However, we will not accept a lease where on expiry of the mortgage: (i) less than 50 years remain and all or part of the loan is repaid on an interest-only basis: or (ii) less than 30 years remain and the loan is repaid on a capital and interest basis We will accept a lease that has been extended under the provisions of the Leasehold Reform Act 1993 provided statutory compensation would be available to the leaseholder. |
| 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 Langham can be a difficult process. We recommend you procure 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 a wealth of experience procuring Langham lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Nathaniel was the the leasehold owner of a conversion apartment in Langham being marketed with a lease of just over 61 years unexpired. Nathaniel on an informal basis contacted his landlord a well known local-based freehold company and enquired on a premium to extend the lease. The landlord indicated a willingness to extend the lease to 125 years subject to a new rent at the outset set at £100 per annum and increase every twenty five years thereafter. No ground rent would be due on a lease extension were Nathaniel to exercise his statutory right. Nathaniel obtained expert legal guidance and was able to make a more informed decision and deal with the matter and sell the property.
In 2010 we were contacted by Mr and Mrs. J Scott who, having purchased a ground floor flat in Langham in June 1996. We are asked if we could shed any light on how much (roughly) price would be to prolong the lease by an additional years. Comparable properties in Langham with a long lease were in the region of £285,000. The mid-range ground rent payable was £55 collected monthly. The lease terminated in 2105. Taking into account 79 years as a residual term we approximated the compensation to the landlord to extend the lease to be between £13,300 and £15,400 exclusive of expenses.
Mrs O James was assigned a lease of a ground floor flat in Langham in October 2012. We are asked if we could estimate the compensation to the landlord could be for a ninety year lease extension. Comparable residencies in Langham with 100 year plus lease were worth £193,400. The average amount of ground rent was £65 invoiced every twelve months. The lease terminated in 2085. Considering the 59 years unexpired we approximated the premium to the landlord for the lease extension to be between £21,900 and £25,200 not including legals.