On the balance of probabilities where you own a flat in Markfield you actually own a long leasehold interest over your property
It is generally accepted that a property with in excess of 100 years remaining is worth roughly the same as a freehold. Where an additional 90 years added to all but the shortest lease, the premises will be equivalent in value to a freehold for decades to come.
| Lender | Requirement |
|---|---|
| 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. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
| TSB | Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption. |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
| 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 Markfield can be a difficult process. We recommend you procure 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 Markfield lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Lewis was the the leasehold proprietor of a high value flat in Markfield on the market with a lease of fraction over 72 years remaining. Lewis on an informal basis contacted his freeholder a well known local-based freehold company for a lease extension. The freeholder indicated a willingness to extend the lease to 125 years on the basis of a rise in the rent to £125 per annum. No ground rent would be payable on a lease extension were Lewis to invoke his statutory right. Lewis procured expert legal guidance and was able to make a more informed judgement and deal with the matter and sell the property.
Last year we were contacted by Mrs Gemma Davies , who purchased a one bedroom flat in Markfield in May 2007. The question was if we could estimate the premium would likely be for a ninety year lease extension. Identical premises in Markfield with 100 year plus lease were worth £250,000. The mid-range ground rent payable was £50 collected monthly. The lease lapsed in 2094. Having 69 years remaining we approximated the compensation to the freeholder to extend the lease to be between £9,500 and £11,000 plus legals.
Last Christmas we were contacted by Ms W Davies , who was assigned a lease of a studio apartment in Markfield in September 2003. The dilemma was if we could estimate the price could be to prolong the lease by 90 years. Similar premises in Markfield with a long lease were worth £285,000. The mid-range ground rent payable was £55 collected every twelve months. The lease came to a finish in 2105. Taking into account 80 years remaining we calculated the premium to the landlord to extend the lease to be between £12,400 and £14,200 plus fees.