On the balance of probabilities if you own a flat in Skelmersdale you actually own a long leasehold interest over your property
Leasehold residencies in Skelmersdale with over 100 years remaining 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 premises. In such situations there is often little to be gained by buying the freehold unless savings on ground rent and service charges justify 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. |
| 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. |
| Skipton Building Society | 85 years from the date of completion of the mortgage For Buy to Let cases: - lettings must not breach any of the lessee’s covenants; and - consent of the lessor to lettings must be obtained if necessary |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
Irrespective of whether you are a tenant or a landlord in Skelmersdale,the lease extension lawyers that we work with will always be prepared to discuss any residential leasehold matters and offer you the benefit of their experience and the close ties they enjoy with Skelmersdale valuers.
Last Spring Mason, came dangerously close to the 80-year threshold with the lease on his two bedroom apartment in Skelmersdale. Having bought his home two decades ago, the lease term was of no significance. As luck would have it, it dawned on him that he would soon be paying way over the odds for Extending the lease. Mason extended the lease just in the nick of time last March. Mason and the landlord who owned the flat above in the end agreed on sum of £6,000 . If the lease had gone to less than 80 years, the premium would have gone up by at least £950.
Last Winter we were approach by Mr and Mrs. I Roux , who took over the lease of a studio apartment in Skelmersdale in November 2003. The dilemma was if we could estimate the premium would be to prolong the lease by a further 90 years. Identical residencies in Skelmersdale with an extended lease were in the region of £255,000. The average amount of ground rent was £50 collected every twelve months. The lease lapsed on 19 March 2097. Having 71 years outstanding we estimated the compensation to the freeholder to extend the lease to be within £9,500 and £11,000 not including expenses.
Ms T Sánchez bought a ground floor apartment in Skelmersdale in January 2004. The dilemma was if we could shed any light on how much (approximately) price would likely be to extend the lease by an additional years. Comparable properties in Skelmersdale with an extended lease were valued around £254,200. The mid-range ground rent payable was £60 collected every twelve months. The lease came to a finish in 2077. Given that there were 51 years remaining we estimated the compensation to the freeholder to extend the lease to be within £43,700 and £50,600 not including fees.