For anyone whose Long Stratton property is held on a long lease, the message is clear – if you ignore the situation, your property will eventually revert to the freeholder, leaving you empty-handed. The shorter the lease the lower the value of the property and the more expensive it will be to extend the lease.
It is generally considered that a residential leasehold with in excess of 100 years unexpired lease term is worth roughly the equivalent 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 many years ahead.
| 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. |
| 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 |
| 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 Long Stratton can be a difficult process. We recommend you obtain professional help from a conveyancer and surveyor well versed in the legislation and lease extension process.
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 a wealth of experience procuring Long Stratton lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
In the wake of eight months of lengthy negotiations with the freeholder of her first floor apartment in Long Stratton, Charlotte initiated the lease extension process as the eighty year mark was rapidly advancing. The legal work was concluded in March 2010. The freeholder’s charges were kept to an absolute minimum.
Last Christmas we were called by Dr N Ward , who completed a ground floor flat in Long Stratton in March 1999. We are asked if we could approximate the compensation to the landlord could be to prolong the lease by a further 90 years. Comparable homes in Long Stratton with a long lease were valued around £208,600. The mid-range ground rent payable was £60 invoiced quarterly. The lease ran out on 26 August 2082. Taking into account 57 years outstanding we estimated the premium to the freeholder for the lease extension to be within £30,400 and £35,200 plus professional charges.
Last month we were approach by Dr Matthew Smith , who moved into a one bedroom flat in Long Stratton in April 1997. We are asked if we could approximate the price could be to extend the lease by 90 years. Comparative homes in Long Stratton with a long lease were in the region of £200,000. The average ground rent payable was £50 collected annually. The lease elapsed in 2102. Having 77 years remaining we calculated the premium to the freeholder for the lease extension to be within £8,600 and £9,800 not including legals.