Royston leases on domestic deteriorating in value. if your lease has in the region of 90 years remaining, you should start thinking about a lease extension. 80 years is a significant number: when the remaining term of a lease falls below this level then you begin paying an additional element called marriage value. Leasehold owners in Royston will mostly qualify for a lease extension; however It would be wise to check with a lawyer to check if you qualify. In some circumstances you may not qualify. There are also strict deadlines and formalities to follow once the process is triggered so it’s wise 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 equivalent as a freehold. Where an further 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 |
|---|---|
| Birmingham Midshires | Minimum 70 years from the date of the mortgage. |
| Halifax | Minimum 70 years from the date of the mortgage. |
| TSB | Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption. |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
| Yorkshire 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. |
Lease extensions in Royston can be a difficult process. We recommend you obtain professional help from a conveyancing solicitor 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 in-depth market knowledge procuring Royston lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
During the course of the last few months Kian, started to get near to the 80-year threshold with the lease on his first floor apartment in Royston. Having bought his home two decades ago, the length of the lease was of no significance. As luck would have it, he recognised he would imminently be paying an inflated amount for Extending the lease. Kian extended the lease at the eleventh hour last September. Kian and the landlord subsequently settled on an amount of £5,000 . If he had missed the deadline, the figure would have become more costly by a minimum £1,100.
Last Spring we were approach by Mrs Abbie Stewart , who owned a purpose-built apartment in Royston in June 1997. The dilemma was if we could estimate the compensation to the landlord could be to prolong the lease by a further 90 years. Similar homes in Royston with an extended lease were valued about £216,000. The average amount of ground rent was £60 invoiced quarterly. The lease ran out on 27 November 2084. Considering the 58 years as a residual term we calculated the premium to the landlord to extend the lease to be within £28,500 and £33,000 exclusive of professional charges.
Mr and Mrs. T González bought a ground floor apartment in Royston in January 2001. We are asked if we could shed any light on how much (roughly) price could be to prolong the lease by ninety years. Comparable properties in Royston with an extended lease were worth £205,000. The mid-range ground rent payable was £50 collected monthly. The lease elapsed on 10 March 2104. Considering the 78 years unexpired we approximated the compensation to the freeholder for the lease extension to be between £7,600 and £8,800 plus costs.