Ponteland leases on residential deteriorating in value. if your lease has about ninety years left, you should start thinking about a lease extension. Eighty years is a significant number: when the unexpired term of a lease dips below this level then you begin paying an additional element called marriage value. Flat owners in Ponteland will mostly be legally entitled to a lease extension; however it’s a good idea to check with a conveyancer to check if you qualify. In some cases you may not qualify. There are prescribed deadlines and procedures to comply with once the process has started so it’s wise to be guided by a conveyancing solicitor during the process.
It is generally considered that a property with over 100 years remaining is worth approximately the same as a freehold. Where an additional 90 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 |
|---|---|
| Bank of Scotland | 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. |
| TSB | Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption. |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
Irrespective of whether you are a tenant or a freeholder in Ponteland,the lease extension lawyers that we work with will always be willing to discuss any residential leasehold matters and offer you the benefit of their experience and the close ties they enjoy with Ponteland valuers.
Jamie owned a studio flat in Ponteland on the market with a lease of fraction over 59 years remaining. Jamie informally contacted his freeholder a well known local-based freehold company for a lease extension. The landlord was keen to agree an extension on non-statutory terms taking the lease to 125 years on the basis of a rise in the rent to £100 per annum. No ground rent would be payable on a lease extension were Jamie to invoke his statutory right. Jamie procured expert advice and secured an acceptable resolution without going to tribunal and sell the property.
Last year we were phoned by Mr and Mrs. V Torres , who was assigned a lease of a newly refurbished apartment in Ponteland in March 2001. We are asked if we could approximate the premium would be to extend the lease by ninety years. Similar properties in Ponteland with a long lease were valued about £240,600. The mid-range amount of ground rent was £60 invoiced every twelve months. The lease elapsed on 23 February 2088. Taking into account 62 years unexpired we estimated the premium to the freeholder to extend the lease to be between £21,900 and £25,200 exclusive of legals.
Last Winter we were phoned by Dr P García , who moved into a garden flat in Ponteland in July 2000. The dilemma was if we could estimate the price could be for a 90 year lease extension. Comparable residencies in Ponteland with a long lease were in the region of £174,200. The mid-range amount of ground rent was £55 invoiced quarterly. The lease came to a finish on 3 July 2077. Taking into account 51 years unexpired we estimated the compensation to the landlord for the lease extension to be between £31,400 and £36,200 exclusive of legals.