Mirfield leases on residential properties are gradually decreasing in value. The shorter the remaining lease term becomes, the less it is worth – and as a result any extension of your lease becomes more expensive. The majority of owners of residential leasehold property in Mirfield enjoy rights under legislation to extend the terms of their leases. If you are a leasehold owner in Mirfield you must check if your lease has between seventy and 90 years remaining. In particular once the remaining lease term slips under 80 years, the premium due on any lease extension sharply increases as an element of the premium you will incur is what is known as a marriage value
It is conventional wisdom that a property with over 100 years unexpired lease term is worth roughly the equivalent as a freehold. Where an additional ninety years added to all but the shortest lease, the property will be equivalent in value to 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. |
| 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. |
Lease extensions in Mirfield can be a difficult process. We recommend you procure professional help from a lawyer and valuer with experience in this area.
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 Mirfield lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Subsequent to unsuccessful discussions with the landlord of her basement apartment in Mirfield, Amber started the lease extension process as the eighty year deadline was quickly nearing. The legal work was concluded in September 2013. The landlord’s fees were kept to an absolute minimum.
In 2009 we were approached by Ms Aimee Brooks who, having acquired a purpose-built flat in Mirfield in August 2010. The dilemma was if we could shed any light on how much (roughly) premium would likely be to extend the lease by ninety years. Identical flats in Mirfield with an extended lease were valued around £200,000. The mid-range ground rent payable was £50 billed monthly. The lease elapsed on 10 April 2103. Having 78 years outstanding we approximated the premium to the freeholder to extend the lease to be within £8,600 and £9,800 plus fees.
Last month we were called by Mr and Mrs. T Williams , who moved into a ground floor flat in Mirfield in January 2010. We are asked if we could estimate the price would be for a ninety year lease extension. Comparable residencies in Mirfield with a long lease were valued about £267,600. The average ground rent payable was £65 invoiced every twelve months. The lease expired in 2092. Having 67 years remaining we approximated the compensation to the freeholder to extend the lease to be between £14,300 and £16,400 plus legals.