Owning a apartment usually means owning a lease of the property, this is a ‘time-limited’ interest becoming shorter every day. your lease will ordinarily be granted for a fixed period of time , usually 99 or 125 years, although we have seen longer and shorter terms in Saltash. Inevitably, the term of lease left reduces as time goes by. This may slip by relatively unnoticed when the residence needs to be sold or refinanced. The shorter the lease the lower the value of the property and the more it will cost to extend the lease. Qualifying leaseholders in Saltash have the right to extend the lease for an additional 90 years under statute. Do give due deliberation before putting off your Saltash lease extension. Putting off the cost now only increases the price you will ultimately have to pay for a lease extension
Leasehold residencies in Saltash with more than one hundred years unexpired on the lease are sometimes referred to as ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your premises. In such circumstances there is often little upside in buying the reversionary interest unless savings on ground rent and maintenance charges merit 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. |
| Lloyds TSB Scotland | Minimum 70 years from the date of the mortgage. |
| National Westminster Bank | Mortgage term plus 30 years. For Shared Ownership, the remaining term of the lease must be at least 75 years plus the term of the mortgage at the outset of the mortgage. |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
Lease extensions in Saltash can be a difficult process. We recommend you secure guidance from a conveyancing solicitor and surveyor 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 a wealth of experience procuring Saltash lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
In the wake of 6 months of lengthy discussions with the landlord of her studio apartment in Saltash, Sophia initiated the lease extension process as the 80 year threshold was fast coming. The transaction was finalised in May 2011. The freeholder’s charges were kept to an absolute minimum.
In 2009 we were phoned by Mr and Mrs. B Gómez who, having acquired a purpose-built apartment in Saltash in July 2010. We are asked if we could estimate the price would be to extend the lease by a further 90 years. Comparable residencies in Saltash with an extended lease were worth £191,400. The average amount of ground rent was £55 invoiced quarterly. The lease expired on 14 November 2080. Given that there were 54 years left we estimated the compensation to the landlord to extend the lease to be between £34,200 and £39,600 exclusive of legals.
Mr S Petit bought a basement apartment in Saltash in September 2004. The dilemma was if we could approximate the price could be to prolong the lease by an additional years. Comparative residencies in Saltash with a long lease were in the region of £295,000. The average ground rent payable was £45 collected every twelve months. The lease end date was on 12 October 2100. Having 74 years remaining we approximated the premium to the freeholder for the lease extension to be between £9,500 and £11,000 exclusive of costs.