The rule of thumb is, all other factors being equal, the shorter the lease the more expensive the premium. Qualifying leaseholders in Newton Ferrers can extend the lease for a further 90 years in accordance with statute. Please give careful consideration before delaying your Newton Ferrers lease extension. Postponing that expense today simply increases the premium you will ultimately have to pay for a lease extension.
It is generally considered that a property with in excess of 100 years unexpired lease term is worth roughly the same as a freehold. Where an additional 90 years added to any lease with more than 45 years remaining, the premises will be equivalent in value to a freehold for many years in the future.
| Lender | Requirement |
|---|---|
| Bank of Scotland | Minimum 70 years from the date of the mortgage. |
| Barclays plc | Leases with less than 70 years at the commencement of the mortgage should be declined (see exception below). Leases with greater than 70 years but fewer than 85 years remaining must be referred to issuing office. Leases with fewer than 70 years should only be referred to the issuing office where the following scenario applies, as discretion may be applied subject to bank approval: • Property is located in any of the following prestigious developments: Cadogan, Crown, Grosvenor, Howard de Walden, Portman or Wellcome Trust Estates in Central London AND • The value of the property subject to the short remaining term is £500,000 or more AND • The loan to value does not exceed 90% for purchases, 90% like for like re-mortgages, 80% for re-mortgages with any element of capital raising and 80% for existing Barclays mortgage borrowers applying for additional borrowing; |
| 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. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
| National Westminster Bank | Mortgage term plus 30 years. |
Lease extensions in Newton Ferrers can be a difficult process. We recommend you get professional help from a conveyancing solicitor and surveyor with experience in lease extensions.
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 in-depth market knowledge procuring Newton Ferrers lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Two years ago Jayden, came perilously close to the eighty-year threshold with the lease on his purpose- built flat in Newton Ferrers. In buying his property 18 years ago, the length of the lease was of no bearing. Thankfully, he realised he would imminently be paying way over the odds for a lease extension. Jayden was able to extend his lease just under the wire in January. Jayden and the landlord subsequently agreed on a premium of £5,500 . If the lease had slipped below 80 years, the sum would have become more exhorbitant by at least £975.
Last Winter we were approach by Dr M Torres , who was assigned a lease of a one bedroom flat in Newton Ferrers in October 1996. The question was if we could approximate the price could be to extend the lease by 90 years. Similar properties in Newton Ferrers with an extended lease were in the region of £245,000. The mid-range amount of ground rent was £50 billed every twelve months. The lease expired in 2093. Given that there were 68 years remaining we approximated the premium to the landlord for the lease extension to be between £9,500 and £11,000 plus legals.
Mr and Mrs. T Clark bought a purpose-built apartment in Newton Ferrers in February 2005. The dilemma was if we could approximate the premium would be to prolong the lease by 90 years. Comparative flats in Newton Ferrers with 100 year plus lease were valued around £285,000. The mid-range ground rent payable was £55 invoiced per annum. The lease ran out on 18 February 2104. Taking into account 79 years remaining we approximated the compensation to the landlord to extend the lease to be between £13,300 and £15,400 exclusive of fees.