Sedbergh leases on residential deteriorating in value. Where your lease has approximately ninety years remaining, you should start considering the need for a lease extension. It is important to recognise that it is that it is financially advisable for the lease extension to take place before the term of the existing lease falls below 80 years - otherwise a higher amount will be due. Flat owners in Sedbergh will usually be legally entitled to a lease extension; however It would be wise to check with a conveyancer to confirm your eligibility. In certain situations you may not be entitled. There are also strict timetables and formalities to follow once the process has started so it’s wise to be guided by a lawyer during the process.
Leasehold residencies in Sedbergh with in excess of one hundred years remaining on the lease are often referred to as ‘virtual freehold’. This is where the lease value the same as a freehold interest in your property. In such circumstances there is often little upside in buying the reversionary interest unless savings on ground rent and estate charges warrant it.
| Lender | Requirement |
|---|---|
| Bank of Scotland | Minimum 70 years from the date of the mortgage. |
| 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. |
| National Westminster Bank | Mortgage term plus 30 years. For Shared Ownership, the remaining term of the lease must also be not less than 75 years at the outset of the mortgage. |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
| 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 Sedbergh can be a difficult process. We recommend you secure professional help from a lawyer and surveyor well versed in the legislation and lease extension process.
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 in-depth market knowledge procuring Sedbergh lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Subsequent to unsuccessful correspondence with the landlord of her purpose-built flat in Sedbergh, Elizabeth initiated the lease extension process just as the lease was approaching the crucial 80-year mark. The legal work was finalised in April 2007. The freeholder’s charges were kept to an absolute minimum.
Last Autumn we were called by Mr and Mrs. U Green , who moved into a purpose-built flat in Sedbergh in October 2003. We are asked if we could estimate the price would be to extend the lease by 90 years. Comparative flats in Sedbergh with a long lease were worth £285,000. The average ground rent payable was £55 billed quarterly. The lease ended in 2105. Having 79 years as a residual term we approximated the compensation to the landlord for the lease extension to be within £13,300 and £15,400 not including fees.
Mr Rory Parker was assigned a lease of a ground floor apartment in Sedbergh in August 2006. We are asked if we could shed any light on how much (approximately) price would be to prolong the lease by 90 years. Comparative properties in Sedbergh with an extended lease were worth £198,400. The mid-range amount of ground rent was £65 billed annually. The lease ran out in 2085. Having 59 years remaining we calculated the compensation to the landlord for the lease extension to be between £21,900 and £25,200 plus expenses.