On the balance of probabilities if you own a flat in Saxilby you actually own a long leasehold interest over your property
Leasehold properties in Saxilby with more than 100 years outstanding on the lease are often regarded as a ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your home. In such circumstances there is often little upside in buying the freehold unless savings on ground rent and estate charges merit it.
| Lender | Requirement |
|---|---|
| Coventry Building Society | 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. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
| 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. |
| 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 Saxilby can be a difficult process. We recommend you get guidance from a lawyer 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 procuring Saxilby lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Riley owned a studio flat in Saxilby on the market with a lease of a few days over 59 years unexpired. Riley informally approached his landlord being a well known Manchester-based freehold company for a lease extension. The landlord was keen to agree an extension on non-statutory terms taking the lease to 125 years on the basis of a new rent at the outset set at £100 per annum and doubled every twenty five years thereafter. Ordinarily, ground rent would not be payable on a lease extension were Riley to invoke his statutory right. Riley procured expert legal guidance and secured an acceptable deal without resorting to tribunal and readily saleable.
Last Summer we were e-mailed by Mrs D Howard , who purchased a one bedroom apartment in Saxilby in May 2009. The dilemma was if we could approximate the price could be for a 90 year extension to my lease. Identical residencies in Saxilby with 100 year plus lease were valued around £270,000. The average ground rent payable was £55 collected quarterly. The lease expiry date was in 2101. Having 75 years outstanding we estimated the premium to the landlord for the lease extension to be within £9,500 and £11,000 exclusive of legals.
Last Christmas we were called by Mr and Mrs. T Petit , who acquired a first floor apartment in Saxilby in June 2009. The dilemma was if we could shed any light on how much (roughly) premium could be to extend the lease by a further 90 years. Similar residencies in Saxilby with a long lease were worth £168,800. The mid-range ground rent payable was £60 billed annually. The lease lapsed on 10 March 2081. Considering the 55 years outstanding we calculated the premium to the freeholder to extend the lease to be within £31,400 and £36,200 plus legals.