Rothwell leases on domestic deteriorating in value. if your lease has in the region of 90 years unexpired, you should start considering the need for a lease extension. Eighty years is a significant number: when the remaining term of a lease falls below this level then you start incurring an additional element called marriage value. Leasehold owners in Rothwell will mostly qualify for a lease extension; however a solicitor should be able confirm if you qualify. In some situations you may not qualify. There are prescribed timetables and procedures to follow once the process is initiated so it’s best to be guided by a conveyancing solicitor during the process.
It is conventional wisdom that a property with more than 100 years unexpired lease term is worth roughly the same as a freehold. Where an additional ninety years added to any lease with more than 30 years remaining, the residence will be worth the same as a freehold for many years ahead.
| Lender | Requirement |
|---|---|
| Birmingham Midshires | Minimum 70 years from the date of the mortgage. |
| 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. |
| Halifax | Minimum 70 years from the date of the mortgage. |
| Leeds Building Society | 85 years remaining from the start 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 |
Lease extensions in Rothwell can be a difficult process. We recommend you procure guidance from a conveyancing solicitor 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 a wealth of experience procuring Rothwell lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Rory owned a 2 bedroom flat in Rothwell on the market with a lease of just over 59 years outstanding. Rory informally approached his freeholder being a well known Bristol-based freehold company for a lease extension. The freeholder indicated a willingness to grant an extension taking the lease to 125 years on the basis of a new rent to start with set at £150 per annum and doubled every 25 years thereafter. No ground rent would be payable on a lease extension were Rory to invoke his statutory right. Rory procured expert advice and secured an acceptable deal informally and sell the property.
In 2009 we were called by Ms Shannon James who, having completed a garden flat in Rothwell in November 2000. We are asked if we could approximate the price would be for a 90 year extension to my lease. Similar properties in Rothwell with 100 year plus lease were worth £250,400. The average ground rent payable was £65 collected per annum. The lease lapsed in 2089. Taking into account 64 years unexpired we approximated the compensation to the landlord to extend the lease to be within £19,000 and £22,000 exclusive of fees.
In 2010 we were contacted by Mr and Mrs. U Vincent who, having took over the lease of a one bedroom flat in Rothwell in November 1995. We are asked if we could shed any light on how much (approximately) compensation to the landlord would be to extend the lease by an additional years. Similar flats in Rothwell with a long lease were worth £189,000. The average amount of ground rent was £55 collected yearly. The lease expired in 2078. Taking into account 53 years left we calculated the premium to the freeholder to extend the lease to be between £28,500 and £33,000 exclusive of legals.