When it comes to long leasehold property in Ruskington, you are actually purchasing a right to reside in a property for a set period of time. In recent years flat leases are usually granted for 99 years or 125. Even though this may appear like a lengthy period of time, you should think about a lease extension sooner as opposed to later. Accepted thinking is that the shorter the lease is the cost of extending the lease increases markedly notably once there are less than eighty years remaining. Leasehold owners in Ruskington with a lease approaching 81 years unexpired should seriously consider extending it as soon as possible. When a lease has under 80 years left, under the current statute the landlord is entitled to calculate and demand a larger amount, assessed on a technical computation, strangely termed as “marriage value” which is due.
Leasehold properties in Ruskington with in excess of 100 years remaining on the lease are often regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your property. In such circumstances there is often little to be gained by purchasing the reversionary interest unless savings on ground rent and maintenance charges warrant it.
| Lender | Requirement |
|---|---|
| Bank of Scotland | Minimum 70 years from the date of the mortgage. |
| Halifax | 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. |
| 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. |
Using our service will provide you enhanced control over the value of your Ruskington leasehold, as your property will be more valuable and saleable in respect of lease length should you want to sell. The conveyancers that we work with are well versed in the legislation handling many hundreds of lease extensions or freehold purchase transactions.
Half a year ago Jason, started to get near to the eighty-year mark with the lease on his one bedroom apartment in Ruskington. Having purchased his flat two decades ago, the lease term was of little significance. Thankfully, it dawned on him that he would imminently be paying an inflated amount for Extending the lease. Jason arranged for a lease extension just under the wire last July. Jason and the landlord ultimately settled on sum of £6,000 . If the lease had slid to less than 80 years, the sum would have become more costly by at least £1,025.
Mrs S Baker was assigned a lease of a basement apartment in Ruskington in April 2005. We are asked if we could estimate the price would likely be to prolong the lease by a further 90 years. Comparative properties in Ruskington with an extended lease were worth £290,000. The average ground rent payable was £60 invoiced yearly. The lease finished on 26 January 2105. Having 80 years left we approximated the compensation to the freeholder to extend the lease to be between £13,300 and £15,400 exclusive of legals.
In 2013 we were called by Dr P Sharif who, having completed a garden flat in Ruskington in July 1997. We are asked if we could estimate the premium would be for a 90 year extension to my lease. Identical premises in Ruskington with 100 year plus lease were in the region of £200,800. The mid-range amount of ground rent was £65 billed every twelve months. The lease elapsed in 2085. Having 60 years left we calculated the premium to the landlord for the lease extension to be between £20,900 and £24,200 plus legals.