Chances are that if you own a flat in Rayleigh you actually own a long leasehold interest over your property
It is conventional wisdom that a residential leasehold with more than 100 years unexpired lease term is worth roughly the same as a freehold. Where an further 90 years added to any lease with more than 45 years unexpired, the property will be worth the same as a freehold for decades to come.
| Lender | Requirement |
|---|---|
| Accord Mortgages | 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. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
| National Westminster Bank | Mortgage term plus 30 years. For Shared Ownership, the remaining term of the lease must be at least 75 years plus the term of the mortgage at the outset 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. |
Lease extensions in Rayleigh can be a difficult process. We recommend you procure guidance from a conveyancer and valuer 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 a wealth of experience procuring Rayleigh lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Following unsuccessful negotiations with the landlord of her one bedroom flat in Rayleigh, Rebecca commenced the lease extension process just as the lease was nearing the critical eighty-year threshold. The lease extension was concluded in May 2011. The freeholder’s fees were negotiated to approximately 450 GBP.
Mrs P Vincent was assigned a lease of a garden flat in Rayleigh in June 2005. The question was if we could estimate the premium would be for a ninety year lease extension. Identical properties in Rayleigh with 100 year plus lease were valued around £265,200. The mid-range amount of ground rent was £65 billed quarterly. The lease terminated in 2092. Given that there were 66 years unexpired we estimated the premium to the freeholder for the lease extension to be within £15,200 and £17,600 plus professional charges.
Ms Natalie Sánchez owned a newly refurbished flat in Rayleigh in August 1995. The question was if we could approximate the compensation to the landlord would likely be for a 90 year lease extension. Comparative residencies in Rayleigh with a long lease were in the region of £198,800. The average amount of ground rent was £55 invoiced yearly. The lease expiry date was on 4 November 2081. Having 55 years unexpired we calculated the compensation to the landlord to extend the lease to be within £33,300 and £38,400 not including fees.