Mansfield leases on domestic deteriorating in value. Where your lease has in the region of ninety years left, you should start considering the need for a lease extension. Eighty years is a significant number: when the unexpired term of a lease drops below this level then you start paying an additional element called marriage value. Leasehold owners in Mansfield will mostly be legally entitled to a lease extension; however it’s a good idea to check with a lawyer to confirm your eligibility. In some cases you may not qualify. There are prescribed deadlines and formalities to follow once the process is triggered so it’s best to be guided by a conveyancer during the process.
It is conventional wisdom that a property with over one hundred years remaining is worth approximately the same as a freehold. Where an further 90 years added to all but the shortest lease, the residence will be equivalent in value to a freehold for many years in the future.
| 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. |
| Bank of Scotland | Minimum 70 years from the date of the mortgage. |
| Birmingham Midshires | Minimum 70 years from the date of the mortgage. |
| 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 |
Lease extensions in Mansfield can be a difficult process. We recommend you get professional help from a conveyancer and valuer with experience in lease extensions.
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 Mansfield lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Subsequent to lengthy correspondence with the landlord of her purpose-built flat in Mansfield, Morgan started the lease extension process just as her lease was approaching the crucial 80-year mark. The legal work was concluded in March 2012. The freeholder’s costs were kept to an absolute minimum.
Dr D Lambert owned a studio apartment in Mansfield in November 2003. The question was if we could approximate the compensation to the landlord would be to prolong the lease by an additional years. Identical flats in Mansfield with an extended lease were worth £235,200. The average ground rent payable was £45 billed monthly. The lease came to a finish in 2091. Considering the 66 years as a residual term we calculated the premium to the landlord for the lease extension to be between £12,400 and £14,200 not including professional charges.
Mr C Lee took over the lease of a one bedroom apartment in Mansfield in May 2003. We are asked if we could approximate the price could be to prolong the lease by 90 years. Comparative premises in Mansfield with 100 year plus lease were valued around £275,000. The average ground rent payable was £55 invoiced every twelve months. The lease finished in 2102. Given that there were 77 years remaining we calculated the premium to the freeholder for the lease extension to be between £13,300 and £15,400 not including fees.