Chances are that if you own a flat in Marske and Upleatham you actually own a long leasehold interest over your property
It is conventional wisdom that a residential leasehold with over one hundred years remaining is worth roughly the same as a freehold. Where an further ninety years added to all but the shortest lease, the residence will be worth the same as a freehold for many years ahead.
| 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. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
| Santander | You must report the unexpired lease term to us and await our instructions if: 1. the unexpired term assumed by our valuer is between 55 and 82 years, but the actual unexpired term differs by more than one year (whether longer or shorter); or 2. the unexpired term assumed by our valuer is more than 82 years but the actual unexpired term is less than 82 years; or 3. no valuation report is provided However, we will not accept a lease where on expiry of the mortgage: (i) less than 50 years remain and all or part of the loan is repaid on an interest-only basis: or (ii) less than 30 years remain and the loan is repaid on a capital and interest basis We will accept a lease that has been extended under the provisions of the Leasehold Reform Act 1993 provided statutory compensation would be available to the leaseholder. |
| 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 |
Using our service gives you increased control over the value of your Marske and Upleatham leasehold, as your property will be more valuable and marketable in respect of lease length should you wish to sell. The conveyancers that we work with have a in-depth market knowledge handling many hundreds of lease extensions or freehold purchase transactions.
Leo owned a 2 bedroom apartment in Marske and Upleatham being marketed with a lease of just over sixty years unexpired. Leo on an informal basis approached his landlord a well known Bristol-based freehold company for a lease extension. The freeholder indicated a willingness to grant an extension taking the lease to 125 years subject to a rise in the rent to £200 yearly. No ground rent would be payable on a lease extension were Leo to invoke his statutory right. Leo obtained expert advice and secured satisfactory resolution informally and sell the property.
Dr Jasper Gómez was assigned a lease of a purpose-built flat in Marske and Upleatham in May 1995. We are asked if we could approximate the premium would likely be for a ninety year lease extension. Comparative properties in Marske and Upleatham with an extended lease were valued about £290,000. The mid-range ground rent payable was £45 billed quarterly. The lease ended on 22 May 2098. Having 73 years unexpired we estimated the premium to the freeholder for the lease extension to be within £9,500 and £11,000 plus fees.
In 2012 we were e-mailed by Mr and Mrs. V Garcia who, having owned a newly refurbished apartment in Marske and Upleatham in August 2007. The dilemma was if we could shed any light on how much (approximately) premium would likely be for a 90 year extension to my lease. Identical residencies in Marske and Upleatham with a long lease were valued about £240,600. The average ground rent payable was £65 billed yearly. The lease finished in 2087. Considering the 62 years outstanding we calculated the compensation to the freeholder for the lease extension to be within £21,900 and £25,200 exclusive of professional charges.