Melton Constable leases on domestic deteriorating in value. Where your lease has about 90 years left, you should start thinking about a lease extension. An important point to note is that it is desirable for the lease extension to take place before the term of the current lease drops below 80 years - otherwise a higher amount will be due. Flat owners in Melton Constable will usually qualify for a lease extension; however a solicitor will check your eligibility. In certain cases you may not qualify. There are prescribed timetables and procedures to follow once the process has started so it’s sensible to be guided by a conveyancing solicitor during the process.
Leasehold residencies in Melton Constable with more than one hundred years left 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 property. In such circumstances there is often little to be gained by purchasing the freehold unless savings on ground rent and service charges merit it.
| Lender | Requirement |
|---|---|
| Bank of Scotland | Minimum 70 years from the date of the mortgage. |
| 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. |
| 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. |
| 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 Melton Constable can be a difficult process. We recommend you get professional help from a conveyancer and surveyor 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 Melton Constable lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Two years ago Leon, started to get close to the 80-year mark with the lease on his two bedroom apartment in Melton Constable. Having bought his flat two decades ago, the unexpired term was of little importance. Thankfully, he recognised he would imminently be paying an escalated premium for Extending the lease. Leon arranged for a lease extension just under the wire last May. Leon and the freeholder via the management company in the end settled on the final figure of £5,500 . If he not met the deadline, the price would have gone up by a minimum £900.
Last year we were e-mailed by Mr G Morgan , who purchased a garden apartment in Melton Constable in June 1998. We are asked if we could estimate the price could be for a ninety year lease extension. Comparative premises in Melton Constable with 100 year plus lease were valued around £181,600. The mid-range amount of ground rent was £55 invoiced monthly. The lease elapsed in 2078. Considering the 52 years as a residual term we estimated the compensation to the landlord to extend the lease to be between £30,400 and £35,200 exclusive of expenses.
In 2009 we were contacted by Mr and Mrs. B Gunderson who, having completed a purpose-built apartment in Melton Constable in July 1999. We are asked if we could approximate the price would likely be to extend the lease by 90 years. Identical residencies in Melton Constable with a long lease were worth £285,000. The average ground rent payable was £45 collected monthly. The lease terminated on 24 June 2098. Taking into account 72 years left we approximated the compensation to the landlord to extend the lease to be within £12,400 and £14,200 plus costs.