As the length of the unexpired term of a Saltburn By The Sea residential lease decreases so does its value and therefore the value of your property. Where the residual term has, beyond 125 years to run then this decrease may be fractional however 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 termed as a marriage value. This could be significant. It is the primary reason why you should consider extending sooner rather than later. Most flat owners in Saltburn By The Sea will qualify for this right; that being said a conveyancing solicitor will be able to advise whether you qualify to extend your lease. In limited situations you may not qualify, the most common reason being that you have not been the owner of the property for two years.
It is conventional wisdom that a residential leasehold with more than one hundred years unexpired lease term is worth roughly the equivalent as a freehold. Where an additional ninety years added to any lease with more than 30 years unexpired, the premises will be worth the same as a freehold for many years in the future.
| 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. |
| Bank of Scotland | 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. |
| 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. |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
Regardless of whether you are a tenant or a landlord in Saltburn By The Sea,the lease extension experts that we work with will always be willing to discuss any residential leasehold matters and offer you the benefit of their experience and the close ties they enjoy with Saltburn By The Sea valuers.
Two years ago Jude, came seriously close to the 80-year threshold with the lease on his purpose- built apartment in Saltburn By The Sea. Having purchased his flat two decades ago, the unexpired term was of little concern. As luck would have it, he recognised he needed to take steps soon on a lease extension. Jude arranged for a lease extension just under the wire last May. Jude and the freeholder ultimately settled on sum of £5,500 . If he had missed the deadline, the sum would have gone up by at least £1,100.
Ms N Martínez purchased a first floor flat in Saltburn By The Sea in May 1996. We are asked if we could shed any light on how much (roughly) compensation to the landlord would likely be for a ninety year lease extension. Comparable properties in Saltburn By The Sea with an extended lease were worth £166,400. The mid-range amount of ground rent was £60 billed quarterly. The lease elapsed on 27 October 2079. Taking into account 54 years remaining we estimated the premium to the freeholder for the lease extension to be within £32,300 and £37,400 plus expenses.
In 2011 we were phoned by Mr Reuben Rivera who, having purchased a ground floor flat in Saltburn By The Sea in July 2012. The dilemma was if we could shed any light on how much (approximately) price would likely be for a 90 year lease extension. Comparable premises in Saltburn By The Sea with an extended lease were in the region of £227,800. The mid-range amount of ground rent was £45 billed yearly. The lease expiry date was in 2090. Given that there were 65 years left we approximated the premium to the freeholder for the lease extension to be between £13,300 and £15,400 plus professional charges.