The rule of thumb is, all other things holding equal, the shorter the lease the more costly the premium. Qualifying leaseholders in Nottingham have the right to extend the lease for a further ninety years under the 1993 Leasehold Reform Act. Do think carefully before delaying your Nottingham lease extension. Shelving that expense now simply increases the price you will eventually be required to pay for a lease extension.
It is conventional wisdom that a property with over one hundred years unexpired lease term is worth approximately the equivalent as a freehold. Where an further 90 years added to all but the shortest lease, the premises will be worth the same as a freehold for decades to come.
| Lender | Requirement |
|---|---|
| Accord Mortgages | 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. |
| Bank of Scotland | Minimum 70 years from the date of the mortgage. |
| Halifax | Minimum 70 years from the date of the mortgage. |
| 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. |
| TSB | Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption. |
Irrespective of whether you are a tenant or a landlord in Nottingham,the lease extension lawyers that we work with will always be happy to discuss any residential leasehold matters and offer you the benefit of their experience and the close ties they enjoy with Nottingham valuers.
Trailing unsuccessful discussions with the freeholder of her purpose-built flat in Nottingham, Caitlin started the lease extension process just as her lease was approaching the crucial 80-year deadline. The lease extension was concluded in October 2005. The landlord’s fees were restricted to under 650 pounds.
In 2009 we were phoned by Dr I Lefebvre who, having acquired a studio apartment in Nottingham in August 2001. The dilemma was if we could estimate the price would likely be for a ninety year extension to my lease. Comparable properties in Nottingham with a long lease were worth £267,600. The average amount of ground rent was £65 invoiced annually. The lease elapsed on 1 August 2093. Given that there were 67 years remaining we approximated the premium to the freeholder to extend the lease to be within £14,300 and £16,400 plus legals.
Mr and Mrs. I Girard completed a basement apartment in Nottingham in May 2003. We are asked if we could estimate the premium would likely be for a 90 year lease extension. Comparable homes in Nottingham with a long lease were worth £206,200. The mid-range ground rent payable was £60 collected every twelve months. The lease finished on 11 November 2082. Taking into account 56 years unexpired we estimated the premium to the landlord for the lease extension to be between £31,400 and £36,200 plus costs.