Owning a flat usually means owning a lease of the property, which has a set term of years. This lease will normally be granted for a fixed period of time , usually 99 or 125 years, although we have witnessed longer and shorter terms in Rawcliffe. Inevitably, the period of lease left shortens as time goes by. This may pass by relatively unnoticed when the residence needs to be disposed of or re-mortgaged. The shorter the lease the less it is worth and the more it will cost to obtain a lease extension. Qualifying long lease owners in Rawcliffe have the legal entitlement to extend the lease for a further 90 years in accordance with the 1993 Leasehold Reform Act. You should give due consideration before delaying your Rawcliffe lease extension. Putting off that expense now likely increases the price you will ultimately incur to extend your lease
It is generally considered that a residential leasehold with in excess of one hundred years unexpired lease term is worth approximately the equivalent as a freehold. Where an further 90 years added to all but the shortest lease, the premises will be worth the same as a freehold for many years in the future.
| Lender | Requirement |
|---|---|
| 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. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
| Skipton Building Society | 85 years from the date of completion of the mortgage For Buy to Let cases: - lettings must not breach any of the lessee’s covenants; and - consent of the lessor to lettings must be obtained if necessary |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
| Yorkshire Building Society | 85 years from the date of completion of the mortgage. Please ensure that you explain the implications of a short term lease to the borrower. |
Irrespective of whether you are a tenant or a landlord in Rawcliffe,the lease extension experts 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 Rawcliffe valuers.
Off the back of lengthy correspondence with the landlord of her one bedroom flat in Rawcliffe, Courtney initiated the lease extension process as the eighty year deadline was rapidly advancing. The transaction was concluded in April 2006. The landlord’s charges were kept to an absolute minimum.
Last Winter we were approach by Mr and Mrs. H Sánchez , who was assigned a lease of a studio apartment in Rawcliffe in February 2004. The dilemma was if we could estimate the price would be to prolong the lease by an additional years. Comparative properties in Rawcliffe with 100 year plus lease were in the region of £230,800. The average ground rent payable was £60 billed monthly. The lease expired in 2084. Having 60 years unexpired we approximated the compensation to the landlord to extend the lease to be between £24,700 and £28,600 exclusive of expenses.
In 2010 we were phoned by Ms Aimee Campbell who, having owned a one bedroom apartment in Rawcliffe in March 1998. The dilemma was if we could shed any light on how much (roughly) price would likely be for a ninety year extension to my lease. Comparative flats in Rawcliffe with 100 year plus lease were worth £166,800. The average ground rent payable was £50 billed annually. The lease elapsed in 2074. Taking into account 50 years unexpired we calculated the compensation to the landlord for the lease extension to be between £32,300 and £37,400 not including professional charges.