Lees and Moorside leases on residential properties are gradually diminishing in value. The shorter the remaining lease term becomes, the less it is worth – and accordingly any extension of the lease becomes more expensive. Most owners of residential leasehold property in Lees and Moorside enjoy rights under legislation to extend the terms of their leases. Where you are a leasehold owner in Lees and Moorside you should check if your lease has between 70 and ninety years left. There are compelling reasons why a Lees and Moorside flat owner with a lease having around 80 years unexpired should take action to make sure that a lease extension is put in place without delay
Leasehold properties in Lees and Moorside with more than 100 years outstanding on the lease are often regarded as a ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your property. In such situations there is often little to be gained by purchasing the reversionary interest unless savings on ground rent and estate charges merit it.
| Lender | Requirement |
|---|---|
| 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. |
| 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 |
| TSB | Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption. |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
| Yorkshire 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. |
Irrespective of whether you are a tenant or a freeholder in Lees and Moorside,the lease extension solicitors that we work with will always be prepared to discuss any residential leasehold matters and offer you the benefit of their experience and the close ties they enjoy with Lees and Moorside valuers.
Following protracted correspondence with the landlord of her leasehold apartment in Lees and Moorside, Sophie started the lease extension process just as her lease was coming close to the crucial 80-year mark. The legal work was concluded in July 2014. The freeholder’s fees were kept to an absolute minimum.
Last year we were phoned by Dr U Walker , who purchased a garden flat in Lees and Moorside in January 2003. We are asked if we could approximate the premium could be to extend the lease by 90 years. Identical premises in Lees and Moorside with 100 year plus lease were in the region of £227,800. The mid-range ground rent payable was £45 invoiced every twelve months. The lease expired in 2091. Having 65 years left we calculated the compensation to the freeholder to extend the lease to be between £13,300 and £15,400 exclusive of legals.
Last March we were called by Mrs Naomi Carter , who took over the lease of a one bedroom flat in Lees and Moorside in February 2003. We are asked if we could estimate the compensation to the landlord would be for a 90 year lease extension. Similar residencies in Lees and Moorside with 100 year plus lease were worth £275,000. The mid-range amount of ground rent was £55 invoiced annually. The lease ended on 22 November 2102. Considering the 76 years remaining we calculated the premium to the landlord for the lease extension to be within £9,500 and £11,000 exclusive of professional charges.