Ringwood leases on domestic deteriorating in value. if your lease has approximately 90 years unexpired, you should start considering the need for a lease extension. Eighty years is a significant number: when the unexpired term of a lease falls below this level then you begin paying an additional element called marriage value. Flat owners in Ringwood will mostly qualify for a lease extension; however It would be wise to check with a lawyer to check your eligibility. In certain circumstances you may not be entitled. There are prescribed deadlines and steps to comply with once the process has started so it’s wise to be guided by a lawyer during the process.
Leasehold premises in Ringwood with more than one hundred years outstanding on the lease are sometimes 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 purchasing the freehold unless savings on ground rent and estate charges merit it.
| Lender | Requirement |
|---|---|
| Bank of Scotland | Minimum 70 years from the date of the mortgage. |
| Lloyds TSB Scotland | Minimum 70 years from the date 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 |
| TSB | Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption. |
| 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 Ringwood can be a difficult process. We recommend you secure professional help from a conveyancer and surveyor well versed in the legislation and lease extension process.
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 procuring Ringwood lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Two years ago Edward, came perilously close to the eighty-year mark with the lease on his one bedroom apartment in Ringwood. Having bought his property two decades ago, the unexpired term was of no importance. Luckily, he recognised he would soon be paying an inflated amount for Extending the lease. Edward was able to extend his lease just under the wire in August. Edward and the freeholder in the end settled on a premium of £5,500 . If the lease had gone to less than eighty years, the price would have escalated by a minimum £1,000.
Last Winter we were phoned by Mr A Martin , who acquired a garden flat in Ringwood in October 2011. The question was if we could estimate the price would be for a ninety year extension to my lease. Comparable flats in Ringwood with a long lease were worth £267,600. The mid-range amount of ground rent was £65 billed monthly. The lease came to a finish on 4 October 2092. Taking into account 67 years left we approximated the compensation to the freeholder to extend the lease to be within £14,300 and £16,400 not including costs.
Last Christmas we were phoned by Mr Harrison Fournier , who owned a first floor flat in Ringwood in August 2008. We are asked if we could shed any light on how much (roughly) price could be for a ninety year extension to my lease. Comparative flats in Ringwood with an extended lease were worth £206,200. The mid-range ground rent payable was £60 invoiced yearly. The lease terminated in 2081. Considering the 56 years left we approximated the compensation to the freeholder for the lease extension to be within £31,400 and £36,200 exclusive of professional charges.