Langport leases on residential properties are gradually decreasing in value. The shorter the remaining lease term becomes, the less it is worth – and accordingly any extension of the lease gets more expensive. Legislation has been in place for sometime now which permits qualifying Langport residential leaseholders to extend the terms of long leases. Where you are a leasehold owner in Langport you should check if your lease has between seventy and ninety years left. There are compelling reasons why a Langport flat owner with a lease having around eighty years remaining should take steps to make sure that a lease extension is put in place without delay
It is generally accepted that a property with over 100 years remaining is worth approximately the same as a freehold. Where an additional ninety years added to any lease with more than 30 years unexpired, the property will be equivalent in value to a freehold for many years ahead.
| Lender | Requirement |
|---|---|
| Accord Mortgages | 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. |
| 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. |
| National Westminster Bank | Mortgage term plus 30 years. For Shared Ownership, the remaining term of the lease must be at least 30 years plus the term of the mortgage at the outset 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 Langport can be a difficult process. We recommend you obtain guidance from a lawyer and valuer with experience in lease extensions.
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 Langport lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Austin was the the leasehold proprietor of a conversion apartment in Langport on the market with a lease of a few days over fifty eight years outstanding. Austin informally contacted his freeholder a well known Manchester-based freehold company and enquired on a premium to extend the lease. The freeholder was keen to grant an extension on non-statutory terms taking the lease to 125 years on the basis of an increased rent to £100 yearly. Ordinarily, ground rent would not be payable on a lease extension were Austin to exercise his statutory right. Austin procured expert legal guidance and was able to make an informed judgement and deal with the matter and readily saleable.
Last Christmas we were approach by Mr and Mrs. B Fournier , who owned a garden flat in Langport in January 2000. We are asked if we could estimate the price could be for a 90 year extension to my lease. Comparable homes in Langport with 100 year plus lease were valued about £225,400. The mid-range ground rent payable was £45 collected monthly. The lease came to a finish in 2090. Taking into account 64 years as a residual term we approximated the compensation to the landlord for the lease extension to be between £15,200 and £17,600 plus expenses.
Last month we were approach by Dr Noah Edwards , who was assigned a lease of a basement flat in Langport in May 2007. We are asked if we could approximate the premium would likely be for a 90 year lease extension. Comparable properties in Langport with a long lease were worth £270,000. The mid-range ground rent payable was £55 billed yearly. The lease expired in 2101. Having 75 years unexpired we approximated the premium to the freeholder for the lease extension to be within £9,500 and £11,000 not including professional charges.