The only way is down when it comes to Newquay lease terms. Newquay leaseholds that have a residual term less than than 80 years will reduce in value at a rapid rate, and the cost of extending your lease will increase.
It is generally accepted that a residential leasehold with in excess of 100 years remaining is worth approximately the equivalent as a freehold. Where an additional 90 years added to any lease with more than 35 years remaining, the residence will be equivalent in value to a freehold for many years in the future.
| Lender | Requirement |
|---|---|
| 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. |
| TSB | Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption. |
| 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 Newquay can be a difficult process. We recommend you procure 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 a wealth of experience dealing with Newquay lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Jack owned a studio apartment in Newquay on the market with a lease of a little over 72 years remaining. Jack on an informal basis contacted his freeholder a well known Bristol-based freehold company for a lease extension. The freeholder indicated a willingness to grant an extension taking the lease to 125 years on the basis of a new rent to start with set at £150 per annum and doubled every twenty five years thereafter. Ordinarily, ground rent would not be payable on a lease extension were Jack to invoke his statutory right. Jack obtained expert advice and was able to make an informed judgement and deal with the matter and ending up with a market value flat.
Dr Aarav Watson took over the lease of a garden flat in Newquay in May 2006. The dilemma was if we could shed any light on how much (roughly) premium would likely be to prolong the lease by 90 years. Comparable homes in Newquay with a long lease were in the region of £235,600. The mid-range amount of ground rent was £60 billed annually. The lease lapsed in 2087. Given that there were 62 years left we approximated the compensation to the landlord to extend the lease to be within £21,900 and £25,200 exclusive of costs.
In 2014 we were e-mailed by Mr and Mrs. J Martínez who, having was assigned a lease of a one bedroom flat in Newquay in June 1996. We are asked if we could approximate the price could be to extend the lease by ninety years. Comparative properties in Newquay with a long lease were in the region of £174,200. The average amount of ground rent was £55 invoiced monthly. The lease came to a finish in 2076. Having 51 years left we approximated the compensation to the freeholder to extend the lease to be within £31,400 and £36,200 exclusive of professional charges.