Chances are that where you own a flat in Oakley you actually own a long leasehold interest over your property
Leasehold residencies in Oakley with more than one hundred years outstanding on the lease are sometimes referred to as ‘virtual freehold’. This is where the lease value the same as a freehold interest in your home. In such situations there is often little upside in buying the freehold unless savings on ground rent and maintenance charges warrant it.
| Lender | Requirement |
|---|---|
| Birmingham Midshires | Minimum 70 years from the date of the mortgage. |
| 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. |
| 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. |
| 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. |
Engaging our service gives you enhanced control over the value of your Oakley leasehold, as your property will be more valuable and marketable in terms of lease length should you want to sell. The conveyancers that we work with have a in-depth market knowledge handling many hundreds of lease extensions or freehold purchase transactions.
Riley owned a high value flat in Oakley being marketed with a lease of fraction over sixty years remaining. Riley on an informal basis contacted his freeholder being a well known local-based freehold company and enquired on a premium to extend the lease. The landlord was prepared to give an extension on non-statutory terms taking the lease to 125 years on the basis of an increased rent to £125 per annum. No ground rent would be payable on a lease extension were Riley to exercise his statutory right. Riley obtained expert legal guidance and was able to make an informed judgement and handle with the matter and readily saleable.
Mr C Collins completed a basement apartment in Oakley in September 2000. We are asked if we could shed any light on how much (approximately) compensation to the landlord could be to extend the lease by an additional years. Comparable properties in Oakley with 100 year plus lease were worth £205,000. The average ground rent payable was £50 invoiced quarterly. The lease expired on 26 September 2105. Considering the 79 years as a residual term we approximated the premium to the landlord to extend the lease to be within £8,600 and £9,800 not including costs.
Last Summer we were called by Mr and Mrs. A Lefebvre , who completed a one bedroom flat in Oakley in February 2003. The question was if we could shed any light on how much (approximately) compensation to the landlord would be to extend the lease by a further 90 years. Comparable properties in Oakley with a long lease were valued around £275,000. The mid-range ground rent payable was £65 billed quarterly. The lease terminated in 2094. Considering the 68 years left we calculated the compensation to the freeholder for the lease extension to be between £12,400 and £14,200 not including fees.