The rule of thumb is, all other things holding equal, the shorter the lease the more costly the premium. Qualifying leaseholders in Pulborough can extend the lease for a further 90 years in accordance with statute. Please think carefully before delaying your Pulborough lease extension. Putting off that expense now simply escalates the amount you will ultimately be required to pay to extend the lease.
Leasehold residencies in Pulborough with over 100 years left on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your premises. In such situations there is often little to be gained by buying the reversionary interest unless savings on ground rent and service charges justify it.
| 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. |
| 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. |
| Santander | If the property is leasehold, the remaining unexpired lease term at the end of the new mortgage term must be at least 50 years where any part of the mortgage is on Interest Only and 30 years if all loan parts are on Capital Repayment and Interest. You must report the unexpired lease term to us and await our instructions if:
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Retaining our service gives you increased control over the value of your Pulborough leasehold, as your property will be more valuable and marketable in relation to the lease length should you decide to sell. The lawyers that we work with have a in-depth market knowledge handling many hundreds of lease extensions or freehold purchase transactions.
Two years ago Harrison, came precariously close to the eighty-year mark with the lease on his basement apartment in Pulborough. Having purchased his flat 18 years previously, the lease term was of no importance. Thankfully, it dawned on him that he would soon be paying way over the odds for Extending the lease. Harrison extended the lease just under the wire in August. Harrison and the landlord who owned the flat above ultimately agreed on a premium of £6,000 . If he failed to meet the deadline, the figure would have become more costly by a minimum £1,000.
Last Autumn we were approach by Mr and Mrs. V Cox , who took over the lease of a basement apartment in Pulborough in August 2006. The dilemma was if we could shed any light on how much (approximately) premium would likely be for a 90 year extension to my lease. Comparable properties in Pulborough with 100 year plus lease were in the region of £168,800. The average amount of ground rent was £60 collected every twelve months. The lease concluded in 2081. Considering the 55 years as a residual term we approximated the premium to the landlord for the lease extension to be within £31,400 and £36,200 exclusive of expenses.
Last Spring we were called by Mr Arthur Harris , who purchased a one bedroom apartment in Pulborough in October 2008. We are asked if we could shed any light on how much (approximately) premium would likely be for a 90 year lease extension. Similar premises in Pulborough with an extended lease were in the region of £232,800. The mid-range amount of ground rent was £45 collected per annum. The lease elapsed in 2091. Considering the 65 years outstanding we approximated the compensation to the freeholder for the lease extension to be within £13,300 and £15,400 not including costs.