The nearer a residential lease in Lapworth nears to zero years unexpired, the more it reduces the value of the property. Where the residual term has, beyond 99 years remaining then this decrease may be of little impact nevertheless there will become a stage when a lease has fewer than 80 years remaining as part of the premium you will incur is what is known as a marriage value. This could be significant. It is the primary rational as to why you should extend the lease without delay. Many flat owners in Lapworth will meet the qualifying criteria; however a conveyancer can confirm if you are eligible to extend your lease. In limited situations you may not qualify, the most frequent reason being that you have not been the owner of the property for two years.
It is generally considered that a property with in excess of 100 years unexpired lease term is worth approximately the same as a freehold. Where an additional 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 |
|---|---|
| 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. |
| 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. |
| 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 |
Regardless of whether you are a tenant or a landlord in Lapworth,the lease extension experts that we work with will always be happy to discuss any residential leasehold matters and offer you the benefit of their in-depth market knowledge and the close ties they enjoy with Lapworth valuers.
14 months ago Alexander, came critically close to the eighty-year mark with the lease on his leasehold flat in Lapworth. Having purchased his home twenty years previously, the lease term was of minimal concern. by good luck, he became aware that he needed to take steps soon on a lease extension. Alexander was able to extend his lease just ahead of time last June. Alexander and the landlord subsequently settled on sum of £6,000 . If he not met the deadline, the figure would have increased by a minimum £1,000.
Dr Danielle Roberts purchased a ground floor flat in Lapworth in August 2008. We are asked if we could estimate the price would be for a 90 year extension to my lease. Comparative premises in Lapworth with 100 year plus lease were valued around £173,800. The mid-range ground rent payable was £60 invoiced annually. The lease terminated in 2080. Taking into account 55 years outstanding we approximated the compensation to the freeholder for the lease extension to be within £31,400 and £36,200 plus expenses.
Mr and Mrs. V Carter bought a studio flat in Lapworth in April 2001. The dilemma was if we could approximate the price would be for a ninety year extension to my lease. Similar premises in Lapworth with 100 year plus lease were valued around £235,200. The mid-range amount of ground rent was £45 invoiced yearly. The lease end date was on 15 May 2091. Given that there were 66 years left we calculated the compensation to the freeholder to extend the lease to be within £12,400 and £14,200 exclusive of professional charges.