With a long leasehold property in Lytham St Annes, you are in fact renting it for a certain period of time. In recent years flat leases are usually granted for 99 years or 125. Many leasehold owners become complacent as this seems like a lengthy period of time, you should consider extending the lease sooner rather than later. The general rule is that the shorter the number of years is the cost of extending the lease becomes disproportionately greater notably when there are fewer than 80 years remaining. Leasehold owners in Lytham St Annes with a lease nearing 81 years unexpired should seriously think of extending it without delay. Once a lease has less than eighty years remaining, under the current legislation the freeholder can calculate and levy a larger premium, assessed on a technical multiplication, strangely termed as “marriage value” which is payable.
Leasehold premises in Lytham St Annes with more than one hundred years unexpired 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 premises. In such situations there is often little to be gained by purchasing the reversionary interest unless savings on ground rent and maintenance charges justify it.
| Lender | Requirement |
|---|---|
| Accord Mortgages | 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. |
| Halifax | Minimum 70 years from the date of the mortgage. |
| 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. |
Lease extensions in Lytham St Annes can be a difficult process. We recommend you get professional help from a conveyancing solicitor and valuer with experience in this area.
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 procuring Lytham St Annes lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Last Christmas Jayden, came critically near to the 80-year mark with the lease on his ground floor flat in Lytham St Annes. Having bought his flat two decades ago, the lease term was of minimal significance. by good luck, he realised he would imminently be paying an inflated amount for a lease extension. Jayden extended the lease just ahead of time last June. Jayden and the freeholder subsequently agreed on an amount of £5,000 . If he had missed the deadline, the premium would have escalated by at least £900.
In 2010 we were contacted by Mr Jonathan Miller who, having acquired a basement flat in Lytham St Annes in April 1999. We are asked if we could shed any light on how much (roughly) price would be for a 90 year lease extension. Similar residencies in Lytham St Annes with an extended lease were valued around £218,000. The average ground rent payable was £45 billed quarterly. The lease termination date was in 2089. Having 63 years left we approximated the premium to the landlord for the lease extension to be between £17,100 and £19,800 plus professional charges.
In 2010 we were called by Mr and Mrs. H Morris who, having completed a first floor apartment in Lytham St Annes in August 2008. The question was if we could shed any light on how much (roughly) price would be for a 90 year extension to my lease. Identical homes in Lytham St Annes with 100 year plus lease were in the region of £265,000. The mid-range ground rent payable was £50 invoiced per annum. The lease elapsed on 14 January 2100. Considering the 74 years as a residual term we calculated the premium to the freeholder to extend the lease to be between £9,500 and £11,000 not including costs.