Rise Park leases on residential properties are gradually losing value. if your lease has approximately ninety years remaining, you should start considering the need for a lease extension. 80 years is a significant number: when the remaining term of a lease drops below this level then you start incurring an additional element called marriage value. Leasehold owners in Rise Park will usually qualify for a lease extension; however It would be wise to check with a conveyancing solicitor to confirm your eligibility. In certain situations you may not qualify. There are also strict deadlines and steps to follow once the process has started so it’s wise to be guided by a lawyer during the process.
Leasehold premises in Rise Park with more than 100 years remaining on the lease are sometimes referred to as ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your premises. In such circumstances there is often little upside in buying the reversionary interest unless savings on ground rent and maintenance charges merit it.
| 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. |
| Barnsley Building Society | 60 years from the date of the mortgage application subject to 35 years remaining at the end of the mortgage term. |
| 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. |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
The conveyancing solicitors that we work with handle Rise Park lease extensions and help protect your position. A lease extension can be arranged to be completed to coincide with a change of ownership so the costs of the lease extension are paid for using part of the sale proceeds. You really do need expert legal advice in this difficult and technical area of law. The lawyer we work with provide it.
After protracted correspondence with the landlord of her studio apartment in Rise Park, Chelsea commenced the lease extension process just as the lease was nearing the critical eighty-year threshold. The lease extension completed in November 2015. The freeholder’s charges were restricted to a tad over 600 GBP.
Dr Thomas Leroy moved into a garden apartment in Rise Park in May 1997. We are asked if we could shed any light on how much (approximately) price would be to extend the lease by ninety years. Comparative flats in Rise Park with a long lease were worth £290,000. The average amount of ground rent was £45 billed quarterly. The lease ran out on 24 August 2097. Considering the 72 years remaining we estimated the premium to the landlord for the lease extension to be between £11,400 and £13,200 not including expenses.
An example of a Lease Extension matter before the tribunal for a Rise Park property is Flat b 14 Kemble Road in May 2014. The Tribunal assessed the value of the premium payable for the lease extension to be £9,761 This case affected 1 flat.