On the balance of probabilities if you own a flat in Narborough 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 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 |
|---|---|
| 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. |
| 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. |
| Halifax | Minimum 70 years from the date of the mortgage. |
| 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 |
| TSB | Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption. |
Regardless of whether you are a tenant or a landlord in Narborough,the lease extension experts that we work with will always be willing to discuss any residential leasehold matters and offer you the benefit of their experience and the close ties they enjoy with Narborough valuers.
In 2014 Seth, started to get near to the 80-year mark with the lease on his studio apartment in Narborough. In buying his flat two decades ago, the lease term was of little concern. Luckily, it dawned on him that he needed to take steps soon on a lease extension. Seth extended the lease just in the nick of time last January. Seth and the landlord who owned the flat above ultimately agreed on sum of £5,500 . If he failed to meet the deadline, the sum would have gone up by at least £850.
In 2010 we were contacted by Dr A Moreau who, having acquired a studio apartment in Narborough in November 2011. We are asked if we could shed any light on how much (roughly) compensation to the landlord could be to prolong the lease by a further 90 years. Identical residencies in Narborough with 100 year plus lease were in the region of £218,400. The average amount of ground rent was £60 billed per annum. The lease elapsed in 2085. Taking into account 59 years remaining we calculated the compensation to the freeholder for the lease extension to be within £27,600 and £31,800 plus legals.
Dr James Morris moved into a first floor flat in Narborough in June 2009. We are asked if we could shed any light on how much (roughly) price would be to prolong the lease by 90 years. Comparative homes in Narborough with a long lease were worth £205,000. The mid-range amount of ground rent was £50 billed quarterly. The lease came to a finish in 2105. Considering the 79 years unexpired we estimated the compensation to the freeholder to extend the lease to be between £7,600 and £8,800 exclusive of expenses.