Ranmoor leases on residential deteriorating in value. Where your lease has in the region of 90 years left, you should start considering the need for a lease extension. If lease term is less than 80 years, you will then be required to pay half of the property's 'marriage value' on top of the usual cost of the lease extension to your landlord. Marriage value is the amount of extra value that a lease extension will add to the property. Leasehold owners in Ranmoor will mostly qualify for a lease extension; however a solicitor should be able check your eligibility. In some situations you may not be entitled. There are prescribed timetables and formalities to follow once the process is triggered so it’s wise to be guided by a lawyer during the process.
Leasehold properties in Ranmoor with over one hundred years unexpired 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 to be gained by buying the reversionary interest unless savings on ground rent and maintenance charges justify it.
| Lender | Requirement |
|---|---|
| Bank of Scotland | Minimum 70 years from the date of the mortgage. |
| 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. |
| Santander | You must report the unexpired lease term to us and await our instructions if: 1. the unexpired term assumed by our valuer is between 55 and 82 years, but the actual unexpired term differs by more than one year (whether longer or shorter); or 2. the unexpired term assumed by our valuer is more than 82 years but the actual unexpired term is less than 82 years; or 3. no valuation report is provided However, we will not accept a lease where on expiry of the mortgage: (i) less than 50 years remain and all or part of the loan is repaid on an interest-only basis: or (ii) less than 30 years remain and the loan is repaid on a capital and interest basis We will accept a lease that has been extended under the provisions of the Leasehold Reform Act 1993 provided statutory compensation would be available to the leaseholder. |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
Lease extensions in Ranmoor can be a difficult process. We recommend you obtain professional help from a conveyancer and surveyor with experience in lease extensions.
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 a wealth of experience dealing with Ranmoor lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
In the wake of 9 months of lengthy correspondence with the freeholder of her garden flat in Ranmoor, Lucy commenced the lease extension process just as the lease was coming close to the all-important 80-year mark. The legal work completed in May 2009. The landlord’s fees were restricted to a tad over 650 pounds.
Last June we were approach by Mrs Hannah Howard , who purchased a basement flat in Ranmoor in November 1998. The question was if we could shed any light on how much (approximately) compensation to the landlord could be to extend the lease by a further 90 years. Comparable flats in Ranmoor with an extended lease were valued around £254,200. The average ground rent payable was £60 invoiced yearly. The lease elapsed in 2077. Considering the 51 years as a residual term we calculated the premium to the freeholder for the lease extension to be within £43,700 and £50,600 not including professional charges.
Last Autumn we were called by Ms Maisie Williams , who took over the lease of a one bedroom flat in Ranmoor in March 2012. We are asked if we could approximate the compensation to the landlord would be for a 90 year extension to my lease. Comparative premises in Ranmoor with a long lease were worth £210,600. The mid-range ground rent payable was £45 invoiced quarterly. The lease came to a finish on 6 March 2088. Taking into account 62 years unexpired we calculated the compensation to the landlord for the lease extension to be between £18,100 and £20,800 plus expenses.