New Rossington leases on residential deteriorating in value. Where your lease has about 90 years unexpired, you should start considering the need for a lease extension. It is important to recognise that it is that it is financially advisable for the lease extension to be in place before the term of the existing lease falls below 80 years - otherwise a higher premium will be due. Leasehold owners in New Rossington will mostly be legally entitled to a lease extension; however It would be wise to check with a conveyancing solicitor to check if you qualify. In certain circumstances you may not be entitled. There are prescribed deadlines and steps to follow once the process is initiated so it’s sensible to be guided by a conveyancer during the process.
It is generally accepted that a property with over one hundred years remaining is worth approximately the same as a freehold. Where an further ninety years added to any lease with more than 45 years remaining, the residence will be equivalent in value to a freehold for decades to come.
| 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. |
| 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. |
| National Westminster Bank | Mortgage term plus 30 years. |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
Regardless of whether you are a tenant or a landlord in New Rossington,the lease extension lawyers that we work with will always be willing to discuss any residential leasehold matters and offer you the benefit of their in-depth market knowledge and the close ties they enjoy with New Rossington valuers.
In the wake of 6 months of protracted discussions with the freeholder of her leasehold apartment in New Rossington, Rosie initiated the lease extension process as the 80 year deadline was rapidly coming. The transaction completed in October 2011. The freeholder’s charges were restricted to less than 550 GBP.
In 2014 we were contacted by Mr and Mrs. N Pérez who, having bought a basement apartment in New Rossington in November 2008. The question was if we could estimate the premium could be for a ninety year extension to my lease. Comparable properties in New Rossington with a long lease were worth £174,200. The mid-range amount of ground rent was £55 invoiced annually. The lease finished in 2076. Considering the 51 years left we approximated the compensation to the landlord to extend the lease to be between £31,400 and £36,200 not including costs.
Dr T Allen completed a basement apartment in New Rossington in October 2010. The question was if we could shed any light on how much (roughly) premium would likely be to extend the lease by a further 90 years. Comparable properties in New Rossington with 100 year plus lease were worth £285,000. The average amount of ground rent was £45 collected monthly. The lease elapsed on 17 April 2096. Considering the 71 years remaining we estimated the premium to the freeholder for the lease extension to be within £12,400 and £14,200 exclusive of legals.