Owning a apartment usually means owning a lease of the property, which has a set term of years. your lease will ordinarily be granted for a set period of time , usually 99 or 125 years, although we have seen longer and shorter terms in Leven. Inevitably, the term of lease remaining shortens over time. This is often overlooked and only becomes a problem when the residence has to be sold or re-mortgaged. The shorter the lease the lower the value of the property and the more it will cost to procure a lease extension. Qualifying leaseholders in Leven have the right to extend the lease for an additional 90 years in accordance with Leasehold Reform legislation. Please give careful consideration before delaying your Leven lease extension. Holding off the cost now only increases the price you will eventually have to pay to extend your lease
Leasehold premises in Leven with over one hundred years outstanding on the lease are sometimes 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 buying the freehold unless savings on ground rent and maintenance charges warrant it.
| 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. |
| Coventry Building Society | 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. |
| 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. |
| Lloyds TSB Scotland | Minimum 70 years from the date of the mortgage. |
| TSB | Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption. |
The lawyers that we work with undertake Leven lease extensions and help protect your position. A lease extension can be arranged to be completed to coincide with a change of ownership so the costs of the lease extension are paid for using part of the sale proceeds. You really do need expert legal advice in this difficult and technical area of law. The lawyer we work with provide it.
Following unsuccessful discussions with the freeholder of her basement apartment in Leven, Rachael started the lease extension process just as her lease was approaching the critical 80-year deadline. The lease extension was concluded in September 2015. The freeholder’s fees were kept to an absolute minimum.
Mr and Mrs. S André owned a one bedroom flat in Leven in July 2001. We are asked if we could approximate the price would likely be to prolong the lease by an additional years. Comparative properties in Leven with an extended lease were valued around £218,000. The average amount of ground rent was £45 invoiced quarterly. The lease ran out in 2088. Given that there were 63 years remaining we estimated the compensation to the landlord to extend the lease to be between £17,100 and £19,800 plus costs.
Dr Adam Ricardo took over the lease of a one bedroom flat in Leven in January 2009. The dilemma was if we could approximate the price could be for a 90 year extension to my lease. Comparative premises in Leven with an extended lease were valued about £265,000. The average ground rent payable was £50 collected monthly. The lease terminated on 6 April 2099. Considering the 74 years outstanding we approximated the compensation to the freeholder to extend the lease to be between £9,500 and £11,000 not including legals.