For those whose Penrhyn Bay flat is held on a long lease, our message is clear – if no remedial action is taken, the property will eventually revert to your landlord, leaving you empty-handed. The shorter the lease the less it is worth and the more it will cost to extend the lease.
Leasehold residencies in Penrhyn Bay with more than one hundred years outstanding on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your home. In such situations there is often little to be gained by buying the reversionary interest unless savings on ground rent and estate charges warrant it.
| Lender | Requirement |
|---|---|
| Barclays plc | Leases with less than 70 years at the commencement of the mortgage should be declined (see exception below). Leases with greater than 70 years but fewer than 85 years remaining must be referred to issuing office. Leases with fewer than 70 years should only be referred to the issuing office where the following scenario applies, as discretion may be applied subject to bank approval: • Property is located in any of the following prestigious developments: Cadogan, Crown, Grosvenor, Howard de Walden, Portman or Wellcome Trust Estates in Central London AND • The value of the property subject to the short remaining term is £500,000 or more AND • The loan to value does not exceed 90% for purchases, 90% like for like re-mortgages, 80% for re-mortgages with any element of capital raising and 80% for existing Barclays mortgage borrowers applying for additional borrowing; |
| Barnsley Building Society | 60 years from the date of the mortgage application subject to 35 years remaining at the end of the mortgage term. |
| 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. |
| National Westminster Bank | Mortgage term plus 30 years. For Shared Ownership, the remaining term of the lease must also be not less than 75 years at the outset of the mortgage. |
Lease extensions in Penrhyn Bay can be a difficult process. We recommend you secure professional help from a conveyancer and surveyor with experience in lease extensions.
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 Penrhyn Bay lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Kai was the the leasehold proprietor of a high value flat in Penrhyn Bay on the market with a lease of fraction over 59 years left. Kai informally approached his landlord a well known local-based freehold company for a lease extension. The freeholder was prepared to give an extension on non-statutory terms taking the lease to 125 years on the basis of a rise in the rent to £100 yearly. No ground rent would be payable on a lease extension were Kai to invoke his statutory right. Kai procured expert legal guidance and secured an acceptable resolution informally and ending up with a market value flat.
Mr Omar Bernard acquired a purpose-built apartment in Penrhyn Bay in September 1999. We are asked if we could shed any light on how much (approximately) price would likely be to extend the lease by an additional years. Comparative homes in Penrhyn Bay with 100 year plus lease were valued around £191,400. The mid-range ground rent payable was £55 collected monthly. The lease ended on 16 January 2079. Considering the 54 years unexpired we calculated the compensation to the landlord to extend the lease to be between £34,200 and £39,600 not including costs.
Dr Ella Laurent acquired a one bedroom flat in Penrhyn Bay in October 2003. We are asked if we could estimate the premium could be to extend the lease by an additional years. Comparable homes in Penrhyn Bay with a long lease were in the region of £295,000. The mid-range amount of ground rent was £45 billed every twelve months. The lease ended on 15 January 2099. Having 74 years remaining we calculated the premium to the freeholder for the lease extension to be within £9,500 and £11,000 not including fees.