The only way is down when it comes to North Plymouth lease terms. North Plymouth flats that have a remaining term shorter than eighty years will reduce in market price even faster, and the cost to extend your lease will go up.
Leasehold premises in North Plymouth with over one hundred years remaining on the lease are sometimes regarded as a ‘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 to be gained by buying the freehold unless savings on ground rent and maintenance charges justify it.
| Lender | Requirement |
|---|---|
| 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. |
| 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. |
| National Westminster Bank | Mortgage term plus 30 years. For Shared Ownership, the remaining term of the lease must be at least 75 years plus the term of the mortgage at the outset of the mortgage. |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
Lease extensions in North Plymouth can be a difficult process. We recommend you procure guidance from a conveyancer and valuer 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 in-depth market knowledge procuring North Plymouth lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
In 2014 Tyler, came seriously near to the eighty-year mark with the lease on his purpose- built flat in North Plymouth. Having purchased his flat two decades ago, the unexpired term was of no bearing. Luckily, he noticed he needed to take action soon on a lease extension. Tyler was able to extend his lease just under the wire in April. Tyler and the landlord who owned the flat above in the end agreed on an amount of £5,000 . If the lease had dipped to less than 80 years, the sum would have become more costly by a minimum £875.
In 2013 we were called by Mr Oliver François who, having was assigned a lease of a purpose-built flat in North Plymouth in July 2002. The dilemma was if we could shed any light on how much (approximately) premium would be for a 90 year lease extension. Comparative flats in North Plymouth with 100 year plus lease were in the region of £200,000. The mid-range ground rent payable was £50 billed yearly. The lease came to a finish on 14 May 2103. Given that there were 77 years remaining we approximated the premium to the landlord to extend the lease to be between £8,600 and £9,800 plus legals.
Mr and Mrs. A Carter bought a purpose-built apartment in North Plymouth in October 2000. We are asked if we could shed any light on how much (approximately) price could be for a ninety year lease extension. Similar flats in North Plymouth with 100 year plus lease were worth £260,200. The average amount of ground rent was £65 collected monthly. The lease came to a finish on 1 October 2092. Taking into account 66 years unexpired we estimated the premium to the freeholder for the lease extension to be between £16,200 and £18,600 exclusive of costs.