The only way is down when it comes to Little Mill lease terms. Little Mill properties that have a remaining term less than than eighty years will reduce in market price at a rapid rate, and the cost to extend your lease will rise.
Leasehold premises in Little Mill with in excess of 100 years left 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 premises. In such circumstances there is often little to be gained by purchasing the reversionary interest unless savings on ground rent and maintenance charges merit it.
| Lender | Requirement |
|---|---|
| Bank of Scotland | Minimum 70 years from the date of the mortgage. |
| Barclays plc | Leases with less than 70 years at the commencement of the mortgage are not acceptable. Leases with fewer than 70 years should only be referred to the issuing office where the following scenario applies, as discretion may be applied subject to bank approval: • Property is located in any of the following prestigious developments: Cadogan, Crown, Grosvenor, Howard de Walden, Portman or Wellcome Trust Estates in Central London AND • The value of the property subject to the short remaining term is £500,000 or more AND • The loan to value does not exceed 90% for purchases, 90% like for like re-mortgages, 80% for re-mortgages with any element of capital raising and 80% for existing Barclays mortgage borrowers applying for additional borrowing; |
| 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. |
| 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 landlord in Little Mill,the lease extension solicitors 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 Little Mill valuers.
In the wake of 9 months of lengthy discussions with the freeholder of her one bedroom apartment in Little Mill, Samantha commenced the lease extension process as the eighty year mark was quickly coming. The legal work was concluded in January 2010. The landlord’s charges were restricted to less than 700 GBP.
Mr and Mrs. P Hernández owned a purpose-built apartment in Little Mill in October 2001. We are asked if we could shed any light on how much (approximately) compensation to the landlord would likely be to prolong the lease by 90 years. Similar premises in Little Mill with 100 year plus lease were in the region of £181,600. The average amount of ground rent was £55 invoiced monthly. The lease expired on 4 June 2078. Having 52 years remaining we approximated the compensation to the freeholder for the lease extension to be within £30,400 and £35,200 plus professional charges.
Dr U Michel purchased a one bedroom flat in Little Mill in November 1995. The dilemma was if we could estimate the compensation to the landlord would likely be for a ninety year extension to my lease. Comparable homes in Little Mill with an extended lease were valued around £285,000. The mid-range ground rent payable was £45 billed monthly. The lease terminated on 3 June 2098. Taking into account 72 years unexpired we estimated the premium to the landlord for the lease extension to be within £12,400 and £14,200 plus fees.