Narborough leases on residential deteriorating in value. Where your lease has in the region of ninety years remaining, you should start thinking about a lease extension. An important point to note is that it is desirable for your lease extension to be in place before the term of the existing lease drops under 80 years - otherwise a higher premium will be payable. Flat owners in Narborough will usually be legally entitled to a lease extension; however a solicitor should be able check if you qualify. In some situations you may not be entitled. There are prescribed timetables and procedures to follow once the process is initiated so it’s wise to be guided by a conveyancer during the process.
It is generally considered that a residential leasehold with over one hundred years remaining is worth roughly the equivalent as a freehold. Where an additional ninety years added to all but the shortest lease, the property will be worth the same as 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. |
| Chelsea 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. |
| 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. |
| National Westminster Bank | Mortgage term plus 30 years. For Shared Ownership, the remaining term of the lease must also be not less than 75 years at the outset of the mortgage. |
Lease extensions in Narborough can be a difficult process. We recommend you obtain professional help from a conveyancer 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 a wealth of experience dealing with Narborough lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Half a year ago Luca, started to get close to the eighty-year mark with the lease on his purpose- built flat in Narborough. In buying his home twenty years ago, the lease term was of minimal interest. by good luck, he noticed he would soon be paying an inflated amount for a lease extension. Luca extended the lease at the eleventh hour last September. Luca and the landlord who owned the flat above ultimately agreed on the final figure of £5,000 . If he failed to meet the deadline, the figure would have gone up by a minimum £950.
Mrs O Laurent completed a basement apartment in Narborough in March 1997. The question was if we could estimate the premium would likely be for a 90 year lease extension. Identical homes in Narborough with an extended lease were worth £189,000. The mid-range ground rent payable was £55 invoiced quarterly. The lease concluded on 26 June 2078. Considering the 53 years outstanding we calculated the compensation to the landlord for the lease extension to be between £28,500 and £33,000 not including expenses.
In 2011 we were called by Mr and Mrs. A Murphy who, having was assigned a lease of a studio flat in Narborough in July 1997. The dilemma was if we could approximate the price could be to extend the lease by ninety years. Comparative flats in Narborough with a long lease were worth £290,000. The mid-range ground rent payable was £45 billed yearly. The lease terminated on 16 March 2099. Taking into account 74 years as a residual term we calculated the premium to the freeholder to extend the lease to be between £9,500 and £11,000 exclusive of fees.