The only way is down when it comes to Rochester lease terms. Rochester properties that have a residual term fewer than eighty years will de-escalate in value even faster, and the cost of extending your lease will increase.
Leasehold residencies in Rochester with more than one hundred years left on the lease are often referred to as ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your property. In such circumstances there is often little upside in buying the reversionary interest unless savings on ground rent and maintenance charges warrant 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. |
| Bank of Scotland | Minimum 70 years from the date of the mortgage. |
| National Westminster Bank | Mortgage term plus 30 years. For Shared Ownership, the remaining term of the lease must also be not less than 75 years at the outset of the mortgage. |
| 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. |
Retaining our service will provide you enhanced control over the value of your Rochester leasehold, as your property will be more valuable and saleable in terms of lease length should you decide to sell. The conveyancing solicitors that we work with have a in-depth market knowledge handling many hundreds of lease extensions or freehold purchase transactions.
Trailing unsuccessful discussions with the freeholder of her one bedroom apartment in Rochester, Erin initiated the lease extension process as the eighty year deadline was quickly approaching. The transaction was concluded in September 2009. The freeholder’s charges were negotiated to approximately 650 GBP.
Mr and Mrs. T Nguyen purchased a purpose-built apartment in Rochester in February 1995. We are asked if we could shed any light on how much (roughly) premium could be for a ninety year extension to my lease. Identical flats in Rochester with an extended lease were worth £285,000. The average amount of ground rent was £45 invoiced every twelve months. The lease ended in 2096. Having 71 years left we estimated the compensation to the landlord to extend the lease to be between £12,400 and £14,200 plus legals.
Last Christmas we were e-mailed by Dr Poppy Jackson , who acquired a basement flat in Rochester in July 2007. We are asked if we could shed any light on how much (approximately) premium would be for a ninety year lease extension. Comparative residencies in Rochester with a long lease were valued around £225,800. The mid-range amount of ground rent was £60 collected per annum. The lease elapsed in 2085. Given that there were 60 years remaining we approximated the compensation to the freeholder for the lease extension to be between £24,700 and £28,600 plus professional charges.