Nafferton leases on residential properties are gradually diminishing in value. The shorter the remaining lease term becomes, the less it is worth – and as a result any extension of the lease gets more expensive. It is the case that most Nafferton tenants have the right to extend their lease by an additional ninety years in accordance with the 1993 Leasehold Reform Act. Where you are a leasehold owner in Nafferton you would be well advised to check if your lease has between 70 and 90 years left. There are good reasons why a Nafferton flat owner with a lease having around eighty years remaining should take action to make sure that a lease extension is put in place without delay
It is generally considered that a property with over one hundred years unexpired lease term is worth roughly the same 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 in the future.
| 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. |
| 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. |
| Skipton Building Society | 85 years from the date of completion of the mortgage For Buy to Let cases: - lettings must not breach any of the lessee’s covenants; and - consent of the lessor to lettings must be obtained if necessary |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
| Yorkshire Building Society | 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. |
Lease extensions in Nafferton can be a difficult process. We recommend you obtain guidance from a conveyancing solicitor 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 Nafferton lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Owen was the the leasehold owner of a high value apartment in Nafferton being sold with a lease of a few days over fifty eight years left. Owen informally contacted his freeholder being a well known Manchester-based freehold company and enquired on a premium to extend the lease. The landlord was keen to grant an extension on non-statutory terms taking the lease to 125 years on the basis of a rise in the rent to £200 per annum. No ground rent would be payable on a lease extension were Owen to invoke his statutory right. Owen obtained expert advice and was able to make an informed judgement and handle with the matter and readily saleable.
Last Christmas we were approach by Mr H Martin , who completed a one bedroom apartment in Nafferton in August 2011. We are asked if we could estimate the price would likely be to extend the lease by an additional years. Comparable properties in Nafferton with 100 year plus lease were worth £246,800. The average amount of ground rent was £60 collected every twelve months. The lease end date was on 12 June 2075. Having 50 years remaining we estimated the premium to the landlord to extend the lease to be between £44,700 and £51,600 exclusive of professional charges.
Dr Logan Díaz moved into a one bedroom apartment in Nafferton in March 2005. The dilemma was if we could approximate the compensation to the landlord would likely be for a ninety year lease extension. Comparable properties in Nafferton with an extended lease were in the region of £208,200. The mid-range amount of ground rent was £65 billed per annum. The lease terminated on 9 June 2086. Given that there were 61 years left we approximated the premium to the freeholder to extend the lease to be within £20,000 and £23,000 exclusive of costs.