Chances are that if you own a flat in Roker you actually own a long leasehold interest over your property
Leasehold residencies in Roker with over 100 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 premises. In such situations there is often little upside in buying the freehold unless savings on ground rent and maintenance charges justify 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. |
| Chelsea 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. |
| Lloyds TSB Scotland | Minimum 70 years from the date of the mortgage. |
| Santander | You must report the unexpired lease term to us and await our instructions if: 1. the unexpired term assumed by our valuer is between 55 and 82 years, but the actual unexpired term differs by more than one year (whether longer or shorter); or 2. the unexpired term assumed by our valuer is more than 82 years but the actual unexpired term is less than 82 years; or 3. no valuation report is provided However, we will not accept a lease where on expiry of the mortgage: (i) less than 50 years remain and all or part of the loan is repaid on an interest-only basis: or (ii) less than 30 years remain and the loan is repaid on a capital and interest basis We will accept a lease that has been extended under the provisions of the Leasehold Reform Act 1993 provided statutory compensation would be available to the leaseholder. |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
Lease extensions in Roker can be a difficult process. We recommend you secure professional help from a lawyer and valuer with experience in lease extensions.
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 dealing with Roker lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Trailing unsuccessful discussions with the freeholder of her purpose-built flat in Roker, Zoe started the lease extension process as the 80 year threshold was swiftly nearing. The lease extension completed in May 2007. The landlord’s charges were restricted to slightly above 700 GBP.
Last Spring we were e-mailed by Mrs S Díaz , who bought a garden flat in Roker in July 2008. We are asked if we could estimate the premium could be to prolong the lease by an additional years. Comparable flats in Roker with an extended lease were in the region of £254,200. The average amount of ground rent was £60 collected per annum. The lease concluded on 7 July 2076. Having 51 years remaining we estimated the compensation to the freeholder to extend the lease to be between £43,700 and £50,600 exclusive of fees.
Mr and Mrs. H Walker owned a studio apartment in Roker in January 1998. The question was if we could approximate the premium would likely be for a ninety year lease extension. Similar homes in Roker with a long lease were in the region of £210,600. The mid-range ground rent payable was £45 billed every twelve months. The lease came to a finish on 10 March 2087. Given that there were 62 years left we estimated the compensation to the freeholder to extend the lease to be between £18,100 and £20,800 not including costs.