With a long leasehold property in Lytchett Matravers, you effectively rent it for a certain period of time. These days flat leases typically tend to be for 99 years or 125. Even though this may appear like a lengthy period of time, you should consider a lease extension sooner as opposed to later. The general rule is that the shorter the lease is the cost of extending the lease increases markedly notably once there are fewer than 80 years left. Leasehold owners in Lytchett Matravers with a lease nearing 81 years remaining should seriously consider extending it without delay. When the lease term has under eighty years left, under the relevant statute the freeholder is entitled to calculate and demand a larger premium, assessed on a technical multiplication, known as “marriage value” which is due.
Leasehold premises in Lytchett Matravers with over one hundred years outstanding on the lease are often referred to as ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your property. In such circumstances there is often little to be gained by purchasing the reversionary interest unless savings on ground rent and estate charges justify it.
| Lender | Requirement |
|---|---|
| Bank of Scotland | Minimum 70 years from the date of the mortgage. |
| Barnsley Building Society | 60 years from the date of the mortgage application subject to 35 years remaining at the end of the mortgage term. |
| 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. |
| National Westminster Bank | Mortgage term plus 30 years. For Shared Ownership, the remaining term of the lease must also be not less than 75 years at the outset of the mortgage. |
| TSB | Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption. |
Lease extensions in Lytchett Matravers can be a difficult process. We recommend you procure 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 in-depth market knowledge dealing with Lytchett Matravers lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Two years ago Harrison, came dangerously close to the eighty-year threshold with the lease on his two bedroom apartment in Lytchett Matravers. Having bought his property 19 years previously, the lease term was of no importance. As luck would have it, it dawned on him that he needed to take steps soon on Extending the lease. Harrison arranged for a lease extension at the eleventh hour in April. Harrison and the freeholder subsequently settled on sum of £5,000 . If he not met the deadline, the sum would have escalated by at least £925.
In 2010 we were contacted by Mr and Mrs. M Pérez who, having moved into a basement apartment in Lytchett Matravers in June 2006. We are asked if we could approximate the premium could be to extend the lease by ninety years. Similar properties in Lytchett Matravers with an extended lease were in the region of £183,600. The average ground rent payable was £65 billed annually. The lease concluded on 1 January 2082. Having 57 years outstanding we estimated the compensation to the freeholder for the lease extension to be between £28,500 and £33,000 not including costs.
Mr Y Collins completed a basement flat in Lytchett Matravers in November 2005. The dilemma was if we could shed any light on how much (approximately) price would likely be to extend the lease by an additional years. Similar residencies in Lytchett Matravers with a long lease were in the region of £245,000. The mid-range amount of ground rent was £50 collected yearly. The lease concluded on 19 January 2093. Given that there were 68 years outstanding we estimated the compensation to the landlord to extend the lease to be between £9,500 and £11,000 plus legals.