The basic rule is, all other things holding equal, the shorter the lease the more costly the premium. Qualifying leaseholders in Pinnerwood Park have the right to extend the lease for a further ninety years in accordance with statute. Please think carefully before delaying your Pinnerwood Park lease extension. Postponing the costs today simply escalates the amount you will ultimately have to pay for a lease extension.
It is generally accepted that a property with in excess of 100 years unexpired lease term is worth roughly the same as a freehold. Where an further ninety years added to all but the shortest lease, the residence will be equivalent in value to a freehold for many years in the future.
| 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. |
| Birmingham Midshires | Minimum 70 years from the date of the mortgage. |
| Halifax | Minimum 70 years from the date of the mortgage. |
| Leeds Building Society | 85 years remaining from the start 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. |
Regardless of whether you are a tenant or a landlord in Pinnerwood Park,the lease extension solicitors that we work with will always be prepared to discuss any residential leasehold matters and offer you the benefit of their in-depth market knowledge and the close ties they enjoy with Pinnerwood Park valuers.
Archie was the the leasehold proprietor of a high value apartment in Pinnerwood Park on the market with a lease of a few days over 59 years left. Archie on an informal basis spoke with his landlord a well known local-based freehold company and enquired on a premium to extend the lease. The freeholder indicated a willingness to extend the lease to 125 years subject to a new rent at the outset set at £200 per annum and increase every twenty five years thereafter. Ordinarily, ground rent would not be payable on a lease extension were Archie to exercise his statutory right. Archie obtained expert legal guidance and was able to make an informed decision and deal with the matter and ending up with a market value flat.
In 2011 we were contacted by Dr G Mercier who, having bought a basement apartment in Pinnerwood Park in February 2002. We are asked if we could approximate the compensation to the landlord would be for a 90 year extension to my lease. Comparative properties in Pinnerwood Park with a long lease were valued around £255,000. The mid-range ground rent payable was £50 collected every twelve months. The lease ended on 11 April 2097. Having 71 years outstanding we approximated the compensation to the landlord for the lease extension to be between £9,500 and £11,000 plus fees.
Mr E García took over the lease of a basement flat in Pinnerwood Park in July 1997. The question was if we could estimate the price would be to prolong the lease by an additional years. Identical residencies in Pinnerwood Park with 100 year plus lease were worth £254,200. The average ground rent payable was £60 billed monthly. The lease lapsed in 2077. Given that there were 51 years remaining we calculated the premium to the freeholder for the lease extension to be within £43,700 and £50,600 exclusive of fees.