On the balance of probabilities where you own a flat in Ryhall you actually own a long leasehold interest over your property
Leasehold properties in Ryhall with more than one hundred years unexpired on the lease are often regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your home. In such circumstances there is often little to be gained by purchasing the reversionary interest unless savings on ground rent and service charges merit it.
| 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. |
| 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 |
| TSB | Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption. |
The lawyers that we work with handle Ryhall 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 conveyancer we work with provide it.
Trailing protracted discussions with the freeholder of her garden flat in Ryhall, Elizabeth started the lease extension process just as her lease was nearing the all-important eighty-year threshold. The lease extension was finalised in April 2008. The freeholder’s costs were kept to an absolute minimum.
Last Summer we were phoned by Ms Tia Rogers , who purchased a recently refurbished flat in Ryhall in September 2008. The dilemma was if we could estimate the premium would be to prolong the lease by a further 90 years. Similar flats in Ryhall with an extended lease were in the region of £225,800. The mid-range amount of ground rent was £60 collected quarterly. The lease lapsed in 2086. Having 60 years outstanding we estimated the premium to the landlord to extend the lease to be between £25,700 and £29,600 not including professional charges.
Last Christmas we were approach by Mr Jonathan Gunderson , who completed a first floor apartment in Ryhall in September 2006. The dilemma was if we could approximate the compensation to the landlord would likely be for a 90 year extension to my lease. Similar flats in Ryhall with a long lease were worth £210,000. The mid-range ground rent payable was £50 collected yearly. The lease terminated on 16 June 2106. Considering the 80 years left we approximated the compensation to the landlord for the lease extension to be within £8,600 and £9,800 not including expenses.