As the length of the unexpired term of a Poulton Le Fylde domestic lease lessens so does its value and therefore the value of your property. If the lease has, in excess of 125 years to run then this decrease may be negligible however there will become a stage when a lease has less than eighty years remaining as part of the premium you will incur is what is termed as a marriage value. This could increase markedly the cost. It is the primary reason why you should consider extending without delay. Many flat owners in Poulton Le Fylde will qualify for this right; however a conveyancer can confirm if you qualify to extend your lease. In certain situations you may not qualify, the most common reason being that you have owned the property for less than two years.
Leasehold premises in Poulton Le Fylde with over 100 years left on the lease are often 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 upside in purchasing the freehold unless savings on ground rent and service charges justify it.
| Lender | Requirement |
|---|---|
| Barclays plc | Leases with less than 70 years at the commencement of the mortgage are not acceptable. 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; |
| 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. |
| 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. |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
Engaging our service will provide you enhanced control over the value of your Poulton Le Fylde leasehold, as your property will be more valuable and marketable in relation to the lease length should you want to sell. The conveyancers that we work with have a in-depth market knowledge handling many hundreds of lease extensions or freehold purchase transactions.
After unsuccessful negotiations with the freeholder of her one bedroom flat in Poulton Le Fylde, Elizabeth started the lease extension process just as her lease was approaching the crucial eighty-year threshold. The legal work was finalised in August 2008. The freeholder’s charges were restricted to less than 550 GBP.
In 2013 we were contacted by Mr and Mrs. V Bell who, having owned a basement apartment in Poulton Le Fylde in April 2003. We are asked if we could shed any light on how much (roughly) price would likely be for a 90 year extension to my lease. Comparable premises in Poulton Le Fylde with 100 year plus lease were valued about £225,800. The mid-range ground rent payable was £60 collected yearly. The lease came to a finish on 14 November 2086. Given that there were 60 years remaining we approximated the premium to the landlord to extend the lease to be within £24,700 and £28,600 not including professional charges.
Dr G Sharif moved into a purpose-built apartment in Poulton Le Fylde in September 2006. We are asked if we could approximate the compensation to the landlord would be to extend the lease by ninety years. Comparative flats in Poulton Le Fylde with a long lease were in the region of £210,000. The average ground rent payable was £50 invoiced quarterly. The lease elapsed in 2106. Having 80 years left we estimated the premium to the freeholder for the lease extension to be between £8,600 and £9,800 not including expenses.