North Newbald leases on domestic deteriorating in value. Where your lease has in the region of ninety years remaining, you should start thinking about a lease extension. Eighty years is a significant number: when the remaining term of a lease dips below this level then you start paying an additional element called marriage value. Flat owners in North Newbald will mostly be legally entitled to a lease extension; however it’s a good idea to check with a lawyer to confirm if you qualify. In some situations you may not qualify. There are also strict timetables and steps to comply with once the process is triggered so it’s wise to be guided by a lawyer during the process.
Leasehold premises in North Newbald with over one hundred years unexpired on the lease are often referred to as ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your property. In such situations there is often little upside in buying the freehold unless savings on ground rent and service charges merit it.
| 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. |
| Birmingham Midshires | Minimum 70 years from the date of the mortgage. |
| 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. |
| TSB | Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption. |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
Lease extensions in North Newbald can be a difficult process. We recommend you secure professional help from a conveyancing solicitor and valuer with experience in this area.
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 procuring North Newbald lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
During the course of the last few months Max, came very close to the eighty-year threshold with the lease on his purpose- built apartment in North Newbald. In buying his home two decades ago, the length of the lease was of little concern. Fortunately, he realised he would imminently be paying an inflated amount for Extending the lease. Max extended the lease just under the wire in March. Max and the freeholder via the management company in the end settled on the final figure of £6,000 . If the lease had descended to less than eighty years, the premium would have escalated by at least £1,075.
In 2009 we were contacted by Mr and Mrs. H Young who, having took over the lease of a recently refurbished apartment in North Newbald in March 2000. The dilemma was if we could estimate the compensation to the landlord would be to prolong the lease by 90 years. Comparative properties in North Newbald with 100 year plus lease were in the region of £171,800. The mid-range amount of ground rent was £55 billed annually. The lease terminated in 2075. Given that there were 50 years left we estimated the compensation to the landlord to extend the lease to be between £33,300 and £38,400 exclusive of expenses.
Last November we were e-mailed by Mr Freddie Norbert , who owned a basement flat in North Newbald in April 2001. The dilemma was if we could shed any light on how much (approximately) price would be to extend the lease by ninety years. Comparative properties in North Newbald with a long lease were worth £280,000. The mid-range ground rent payable was £45 invoiced yearly. The lease came to a finish in 2095. Given that there were 70 years remaining we estimated the compensation to the freeholder to extend the lease to be between £12,400 and £14,200 plus costs.