Chances are that where you own a flat in Mablethorpe you actually own a long leasehold interest over your property
Leasehold properties in Mablethorpe with over 100 years unexpired on the lease are sometimes referred to as ‘virtual freehold’. This is where the lease value the same as a freehold interest in your property. In such situations there is often little to be gained by purchasing the reversionary interest unless savings on ground rent and service charges justify it.
| Lender | Requirement |
|---|---|
| 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. |
| National Westminster Bank | Mortgage term plus 30 years. For Shared Ownership, the remaining term of the lease must be at least 30 years plus the term of the mortgage at the outset of the mortgage. |
| TSB | Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption. |
| 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 Mablethorpe can be a difficult process. We recommend you obtain professional help from a conveyancer and valuer 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 Mablethorpe lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Hugo owned a 2 bedroom flat in Mablethorpe being marketed with a lease of a little over 59 years outstanding. Hugo informally spoke with his landlord being a well known local-based freehold company and enquired on a premium to extend the lease. The freeholder indicated a willingness to extend the lease to 125 years subject to an increased rent to £100 annually. Ordinarily, ground rent would not be due on a lease extension were Hugo to invoke his statutory right. Hugo obtained expert legal guidance and secured satisfactory resolution informally and readily saleable.
Last month we were approach by Dr George Clark , who moved into a garden apartment in Mablethorpe in January 2009. We are asked if we could estimate the compensation to the landlord would likely be for a 90 year extension to my lease. Identical premises in Mablethorpe with 100 year plus lease were in the region of £275,000. The mid-range amount of ground rent was £65 collected every twelve months. The lease finished on 20 September 2094. Taking into account 68 years outstanding we approximated the compensation to the landlord to extend the lease to be within £13,300 and £15,400 plus costs.
In 2012 we were contacted by Mr and Mrs. T Garcia who, having was assigned a lease of a garden flat in Mablethorpe in March 1997. The question was if we could approximate the compensation to the landlord could be to prolong the lease by a further 90 years. Comparative flats in Mablethorpe with an extended lease were worth £213,600. The mid-range ground rent payable was £60 invoiced yearly. The lease finished on 20 October 2083. Given that there were 57 years remaining we estimated the compensation to the landlord to extend the lease to be within £30,400 and £35,200 plus expenses.