On the balance of probabilities where you own a flat in Sandbach you actually own a long leasehold interest over your property
Leasehold premises in Sandbach with more than one hundred years outstanding 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 situations there is often little upside in purchasing the freehold unless savings on ground rent and maintenance charges merit it.
| Lender | Requirement |
|---|---|
| Bank of Scotland | Minimum 70 years from the date of the mortgage. |
| Leeds Building Society | 85 years remaining from the start 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. |
| TSB | Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption. |
| 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 Sandbach can be a difficult process. We recommend you obtain professional help from a conveyancer 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 a wealth of experience dealing with Sandbach lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Mason was the the leasehold owner of a 2 bedroom apartment in Sandbach on the market with a lease of just over 72 years unexpired. Mason on an informal basis contacted his freeholder being a well known local-based freehold company for a lease extension. The landlord was keen to give an extension on non-statutory terms taking the lease to 125 years on the basis of an increased rent to £125 annually. No ground rent would be payable on a lease extension were Mason to exercise his statutory right. Mason procured expert legal guidance and was able to make a more informed decision and deal with the matter and sell the flat.
Last Autumn we were called by Mr and Mrs. D Pérez , who was assigned a lease of a studio apartment in Sandbach in January 2006. The question was if we could shed any light on how much (approximately) premium could be for a ninety year extension to my lease. Comparable residencies in Sandbach with an extended lease were in the region of £227,800. The mid-range amount of ground rent was £45 collected per annum. The lease lapsed in 2091. Taking into account 65 years outstanding we estimated the premium to the landlord for the lease extension to be between £13,300 and £15,400 plus professional charges.
Last year we were called by Mr and Mrs. I Reed , who was assigned a lease of a first floor flat in Sandbach in March 2012. We are asked if we could estimate the price would likely be for a ninety year lease extension. Comparative flats in Sandbach with an extended lease were in the region of £275,000. The mid-range amount of ground rent was £55 collected yearly. The lease terminated on 13 August 2102. Taking into account 76 years remaining we calculated the premium to the landlord to extend the lease to be between £9,500 and £11,000 not including costs.