On the balance of probabilities if you own a flat in Mortimer you actually own a long leasehold interest over your property
It is conventional wisdom that a residential leasehold with in excess of one hundred years unexpired lease term is worth roughly the equivalent as a freehold. Where an further ninety years added to all but the shortest lease, the property will be equivalent in value to a freehold for decades to come.
| 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. |
| Halifax | Minimum 70 years from the date of the mortgage. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
Lease extensions in Mortimer can be a difficult process. We recommend you secure professional help from a lawyer 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 in-depth market knowledge dealing with Mortimer lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Tommy owned a 2 bedroom flat in Mortimer on the market with a lease of fraction over 61 years unexpired. Tommy informally contacted his freeholder a well known Bristol-based freehold company for a lease extension. The freeholder was keen to give an extension on non-statutory terms taking the lease to 125 years subject to a rise in the rent to £100 yearly. Ordinarily, ground rent would not be due on a lease extension were Tommy to invoke his statutory right. Tommy obtained expert advice and secured satisfactory deal without going to tribunal and readily saleable.
Last Christmas we were approach by Mr Noah André , who purchased a studio flat in Mortimer in May 1996. The question was if we could approximate the premium could be to prolong the lease by a further 90 years. Comparable homes in Mortimer with a long lease were worth £230,800. The mid-range amount of ground rent was £60 billed per annum. The lease came to a finish on 8 October 2085. Given that there were 60 years unexpired we estimated the compensation to the freeholder for the lease extension to be within £24,700 and £28,600 exclusive of professional charges.
Dr N Moreau completed a basement flat in Mortimer in May 2006. We are asked if we could estimate the price could be for a ninety year extension to my lease. Identical properties in Mortimer with 100 year plus lease were valued about £166,800. The mid-range amount of ground rent was £50 invoiced monthly. The lease ended in 2075. Having 50 years unexpired we approximated the premium to the landlord for the lease extension to be between £32,300 and £37,400 not including professional charges.