Openshaw leases on domestic deteriorating in value. if your lease has approximately ninety years remaining, you should start thinking about a lease extension. If lease term falls under 80 years, you will then be required to pay half of the property's 'marriage value' on top of the standard cost of the lease extension to your landlord. Marriage value is the amount of additional value that a lease extension will add to the property. Leasehold owners in Openshaw will mostly qualify for a lease extension; however a solicitor should be able confirm your eligibility. In some circumstances you may not qualify. There are prescribed deadlines and procedures to comply with once the process has started so it’s best to be guided by a conveyancer during the process.
Leasehold premises in Openshaw with more than 100 years unexpired on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your property. In such situations there is often little upside in purchasing the freehold unless savings on ground rent and estate charges justify it.
| Lender | Requirement |
|---|---|
| Bank of Scotland | Minimum 70 years from the date of the mortgage. |
| Birmingham Midshires | Minimum 70 years from the date of the mortgage. |
| 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. |
| 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 Openshaw can be a difficult process. We recommend you procure professional help from a conveyancer and surveyor 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 Openshaw lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Alfie was the the leasehold owner of a 2 bedroom apartment in Openshaw on the market with a lease of fraction over sixty years outstanding. Alfie informally approached his landlord being a well known London-based freehold company and enquired on a premium to extend the lease. The freeholder was prepared to grant an extension on non-statutory terms taking the lease to 125 years subject to an increased rent to £100 per annum. Ordinarily, ground rent would not be due on a lease extension were Alfie to invoke his statutory right. Alfie obtained expert advice and was able to make an informed decision and deal with the matter and readily saleable.
Last month we were called by Mr and Mrs. E Reed , who owned a garden apartment in Openshaw in July 2001. We are asked if we could shed any light on how much (approximately) premium could be for a ninety year lease extension. Similar flats in Openshaw with a long lease were valued around £243,000. The mid-range amount of ground rent was £65 collected quarterly. The lease expired in 2089. Taking into account 63 years left we calculated the premium to the freeholder to extend the lease to be within £20,000 and £23,000 not including legals.
Last Summer we were phoned by Mrs O Walker , who completed a studio apartment in Openshaw in July 2010. The dilemma was if we could shed any light on how much (approximately) premium would be to extend the lease by an additional years. Comparable flats in Openshaw with a long lease were worth £181,600. The mid-range ground rent payable was £55 invoiced yearly. The lease came to a finish on 4 September 2078. Considering the 52 years outstanding we estimated the premium to the landlord to extend the lease to be between £30,400 and £35,200 plus expenses.