As the length of the unexpired term of a Prescot residential lease diminished so does its value and therefore the value of your property. If the lease has, beyond 99 years to run then this decrease may be of little impact however there will become a point in time when a lease has fewer than 80 years left as part of the premium you will incur is what is known as a marriage value. This could increase markedly the cost. It is the primary logic behind why you should consider extending without delay. Most flat owners in Prescot will meet the qualifying criteria; that being said a conveyancing solicitor can confirm whether you are eligible to extend your lease. In certain situations you may not qualify, the most frequent reason being that you have not been the owner of the property for two years.
It is generally considered that a residential leasehold with over one hundred years remaining is worth roughly the equivalent as a freehold. Where an further ninety years added to all but the shortest lease, the property will be equivalent in value to a freehold for decades to come.
| Lender | Requirement |
|---|---|
| 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. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
| TSB | Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption. |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
Lease extensions in Prescot can be a difficult process. We recommend you secure guidance from a conveyancer and surveyor with experience in this area.
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 dealing with Prescot lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Off the back of protracted discussions with the freeholder of her two bedroom apartment in Prescot, Ellen commenced the lease extension process just as her lease was nearing the crucial eighty-year threshold. The legal work was concluded in November 2005. The freeholder’s charges were restricted to a tad over 700 pounds.
Dr Evan Hall completed a purpose-built apartment in Prescot in June 2010. The question was if we could estimate the premium would likely be for a ninety year extension to my lease. Similar homes in Prescot with an extended lease were worth £200,000. The average ground rent payable was £50 invoiced per annum. The lease finished in 2102. Considering the 77 years as a residual term we estimated the premium to the freeholder for the lease extension to be between £8,600 and £9,800 not including fees.
In 2011 we were called by Dr I Fournier who, having moved into a recently refurbished flat in Prescot in September 2003. The question was if we could shed any light on how much (roughly) premium would likely be for a ninety year extension to my lease. Similar homes in Prescot with a long lease were in the region of £265,200. The average amount of ground rent was £65 billed yearly. The lease concluded in 2091. Considering the 66 years outstanding we calculated the premium to the landlord to extend the lease to be between £15,200 and £17,600 exclusive of legals.