Chances are that if you own a flat in Mildenhall you actually own a long leasehold interest over your property
It is conventional wisdom that a property with more than 100 years unexpired lease term is worth roughly the equivalent 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 ahead.
| 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. |
| Birmingham Midshires | Minimum 70 years from the date of the mortgage. |
| National Westminster Bank | Mortgage term plus 30 years. For Shared Ownership, the remaining term of the lease must be at least 75 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. |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
Lease extensions in Mildenhall can be a difficult process. We recommend you secure guidance 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 dealing with Mildenhall lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
In recent months Sam, came dangerously near to the eighty-year threshold with the lease on his studio flat in Mildenhall. In buying his property two decades ago, the length of the lease was of little concern. Luckily, it dawned on him that he needed to take action soon on Extending the lease. Sam extended the lease just ahead of time last April. Sam and the landlord who owned the flat above ultimately settled on an amount of £5,000 . If he failed to meet the deadline, the sum would have escalated by a minimum £975.
Last April we were called by Ms I Baker , who was assigned a lease of a basement apartment in Mildenhall in April 2004. We are asked if we could approximate the premium would be for a 90 year lease extension. Comparative homes in Mildenhall with an extended lease were in the region of £250,000. The mid-range ground rent payable was £50 collected yearly. The lease lapsed on 14 September 2095. Having 69 years outstanding we calculated the compensation to the landlord to extend the lease to be within £9,500 and £11,000 not including professional charges.
In 2014 we were called by Mr Oscar Bell who, having purchased a studio flat in Mildenhall in March 1996. The dilemma was if we could estimate the price would be for a ninety year extension to my lease. Comparable properties in Mildenhall with a long lease were in the region of £285,000. The average ground rent payable was £55 invoiced yearly. The lease termination date was in 2106. Taking into account 80 years unexpired we calculated the compensation to the freeholder for the lease extension to be between £12,400 and £14,200 plus expenses.