When it comes to residential leasehold property in Parkwood Springs, you are in fact renting it for a certain period of time. These days flat leases typically tend to be for 99 years or 125. Even though this may appear like a long period of time, you may think about extending the lease sooner as opposed to later. Accepted thinking is that the shorter the lease is the cost of extending the lease increases markedly particularly when there are less than eighty years remaining. Anyone in Parkwood Springs with a lease drawing near to 81 years left should seriously think of extending it sooner as opposed to later. When a lease has under 80 years left, under the current legislation the landlord is entitled to calculate and levy a larger amount, assessed on a technical computation, known as “marriage value” which is due.
It is generally considered that a residential leasehold with more than one hundred years remaining is worth roughly the equivalent as a freehold. Where an additional ninety years added to any lease with more than 35 years unexpired, the property will be worth the same as a freehold for decades to come.
| 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. |
| 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. |
| Lloyds TSB Scotland | Minimum 70 years from the date of the mortgage. |
| Santander | You must report the unexpired lease term to us and await our instructions if: 1. the unexpired term assumed by our valuer is between 55 and 82 years, but the actual unexpired term differs by more than one year (whether longer or shorter); or 2. the unexpired term assumed by our valuer is more than 82 years but the actual unexpired term is less than 82 years; or 3. no valuation report is provided However, we will not accept a lease where on expiry of the mortgage: (i) less than 50 years remain and all or part of the loan is repaid on an interest-only basis: or (ii) less than 30 years remain and the loan is repaid on a capital and interest basis We will accept a lease that has been extended under the provisions of the Leasehold Reform Act 1993 provided statutory compensation would be available to the leaseholder. |
Engaging our service gives you enhanced control over the value of your Parkwood Springs leasehold, as your property will be more valuable and saleable in relation to the lease length should you want to sell. The conveyancing solicitors that we work with are well versed in the legislation handling many hundreds of lease extensions or freehold purchase transactions.
In the wake of 9 months of unsuccessful negotiations with the landlord of her garden apartment in Parkwood Springs, Courtney commenced the lease extension process as the eighty year deadline was swiftly advancing. The transaction completed in March 2005. The landlord’s costs were kept to an absolute minimum.
Mr G Ramírez owned a first floor flat in Parkwood Springs in July 2000. We are asked if we could shed any light on how much (approximately) price would be to extend the lease by a further 90 years. Comparative properties in Parkwood Springs with 100 year plus lease were valued about £295,000. The average amount of ground rent was £45 collected monthly. The lease ended on 16 July 2100. Considering the 75 years remaining we estimated the compensation to the landlord to extend the lease to be within £8,600 and £9,800 plus legals.
Mr and Mrs. C Garcia completed a newly refurbished apartment in Parkwood Springs in September 2012. We are asked if we could approximate the price would be to extend the lease by 90 years. Similar flats in Parkwood Springs with a long lease were worth £250,400. The mid-range amount of ground rent was £65 collected quarterly. The lease elapsed on 4 August 2089. Having 64 years as a residual term we estimated the compensation to the landlord to extend the lease to be between £19,000 and £22,000 exclusive of costs.