Milton Keynes Village Lease Extension - Free Consultation

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Top reasons for Milton Keynes Village lease extension


Top reasons for lease extension now:

A Milton Keynes Village leasehold property depreciates with the years remaining on the lease.

Milton Keynes Village leases on domestic deteriorating in value. if your lease has in the region of ninety years unexpired, you should start considering the need for a lease extension. If lease term is less than 80 years, you will then be required to pay half of the property's 'marriage value' on top of the standard cost of the lease extension to your landlord. Marriage value is the amount of extra value that a lease extension will add to the property. Flat owners in Milton Keynes Village will mostly be legally entitled to a lease extension; however a solicitor should be able confirm if you qualify. In certain situations you may not qualify. There are also strict deadlines and steps to comply with once the process has started so it’s prudent to be guided by a conveyancing solicitor during the process.

Milton Keynes Village property with a lease extension is almost the same value as a freehold

It is generally accepted 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 property will be worth the same as a freehold for many years in the future.

Banks and Building Societies may not grant a mortgage with a short lease

Lenders are tightening their criteria and many now require flats to have at least 60 if not 70 years left at the end of the mortgage. Considering many flats in Milton Keynes Village were built in the fifties, sixties and seventies this means many now require lease extensions if they wish to get a mortgage.

Lender Requirement
Bank of Scotland Minimum 70 years from the date of the mortgage.
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.
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.
Lloyds TSB Scotland Minimum 70 years from the date of the mortgage.
TSB Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption.

Get in touch with one of our Milton Keynes Village lease extension solicitors or enfranchisement solicitors

Irrespective of whether you are a tenant or a landlord in Milton Keynes Village,the lease extension experts that we work with will always be happy to discuss any residential leasehold matters and offer you the benefit of their in-depth market knowledge and the close ties they enjoy with Milton Keynes Village valuers.

Milton Keynes Village Lease Extension Example Cases:

Finley, Milton Keynes Village, Milton Keynes,

Finley was the the leasehold proprietor of a 2 bedroom apartment in Milton Keynes Village on the market with a lease of just over fifty eight years unexpired. Finley informally contacted his landlord a well known Manchester-based freehold company for a lease extension. The freeholder indicated a willingness to grant an extension taking the lease to 125 years on the basis of an increased rent to £50 yearly. Ordinarily, ground rent would not be payable on a lease extension were Finley to exercise his statutory right. Finley procured expert legal guidance and secured an acceptable resolution informally and sell the property.

Milton Keynes Village case:

Last Autumn we were e-mailed by Mr Callum Adams , who purchased a studio flat in Milton Keynes Village in May 1998. The dilemma was if we could estimate the premium would likely be for a 90 year lease extension. Comparative properties in Milton Keynes Village with an extended lease were in the region of £166,800. The mid-range ground rent payable was £50 invoiced every twelve months. The lease ended in 2075. Taking into account 50 years outstanding we estimated the compensation to the freeholder for the lease extension to be between £32,300 and £37,400 not including fees.

Milton Keynes Village case:

Dr I Bertrand was assigned a lease of a garden apartment in Milton Keynes Village in February 1999. The dilemma was if we could estimate the price could be for a 90 year lease extension. Comparable properties in Milton Keynes Village with a long lease were in the region of £280,000. The mid-range amount of ground rent was £45 collected monthly. The lease came to a finish on 14 August 2095. Given that there were 70 years left we calculated the premium to the freeholder for the lease extension to be within £12,400 and £14,200 plus fees.