There is no doubt about it a leasehold property in Rowlands Gill is a wasting asset as a result of the shortening lease. If the residual term has, over one hundred years remaining then this decrease may be of little impact nevertheless there will become a point in time when a lease has under than eighty years remaining as part of the premium you will incur is what is known as a marriage value. This could be significant. It is the main reason why you should consider extending without delay. Most flat owners in Rowlands Gill will qualify for this right; however a conveyancing solicitor can advise whether you qualify for a lease extension. In certain situations you may not qualify, the most frequent reason being that you have not been the owner of the property for two years.
It is conventional wisdom that a property with over 100 years remaining is worth approximately the equivalent as a freehold. Where an additional ninety years added to all but the shortest lease, the premises will be equivalent in value to a freehold for decades to come.
| 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. |
| 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. |
| 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. |
| Santander | If the property is leasehold, the remaining unexpired lease term at the end of the new mortgage term must be at least 50 years where any part of the mortgage is on Interest Only and 30 years if all loan parts are on Capital Repayment and Interest. You must report the unexpired lease term to us and await our instructions if:
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The lawyers that we work with procure Rowlands Gill 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.
Subsequent to protracted discussions with the landlord of her one bedroom apartment in Rowlands Gill, Freya initiated the lease extension process just as the lease was coming close to the crucial 80-year mark. The transaction completed in September 2009. The freeholder’s costs were negotiated to under 650 pounds.
Mr Reuben Parker bought a purpose-built flat in Rowlands Gill in November 2006. We are asked if we could shed any light on how much (roughly) compensation to the landlord would be for a 90 year lease extension. Identical residencies in Rowlands Gill with a long lease were valued about £246,800. The average ground rent payable was £60 collected per annum. The lease terminated in 2076. Taking into account 50 years left we estimated the compensation to the freeholder to extend the lease to be within £44,700 and £51,600 plus costs.
Mr and Mrs. R Moreau moved into a one bedroom apartment in Rowlands Gill in June 2004. We are asked if we could estimate the compensation to the landlord could be to extend the lease by a further 90 years. Similar flats in Rowlands Gill with 100 year plus lease were worth £208,200. The mid-range ground rent payable was £65 billed per annum. The lease concluded in 2087. Considering the 61 years unexpired we calculated the compensation to the landlord for the lease extension to be between £19,000 and £22,000 plus legals.