Chances are that where you own a flat in St Helens you actually own a long leasehold interest over your property
It is generally accepted that a residential leasehold with in excess of one hundred years unexpired lease term is worth roughly the same as a freehold. Where an additional 90 years added to all but the shortest lease, the residence will be worth the same as a freehold for many years in the future.
| Lender | Requirement |
|---|---|
| Lloyds TSB Scotland | Minimum 70 years from the date of the mortgage. |
| Santander | You must report the unexpired lease term to us and await our instructions if: 1. the unexpired term assumed by our valuer is between 55 and 82 years, but the actual unexpired term differs by more than one year (whether longer or shorter); or 2. the unexpired term assumed by our valuer is more than 82 years but the actual unexpired term is less than 82 years; or 3. no valuation report is provided However, we will not accept a lease where on expiry of the mortgage: (i) less than 50 years remain and all or part of the loan is repaid on an interest-only basis: or (ii) less than 30 years remain and the loan is repaid on a capital and interest basis We will accept a lease that has been extended under the provisions of the Leasehold Reform Act 1993 provided statutory compensation would be available to the leaseholder. |
| 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. |
| 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. |
Regardless of whether you are a tenant or a freeholder in St Helens,the lease extension lawyers that we work with will always be willing to discuss any residential leasehold matters and offer you the benefit of their in-depth market knowledge and the close ties they enjoy with St Helens valuers.
Subsequent to lengthy discussions with the landlord of her basement apartment in St Helens, Louise commenced the lease extension process as the 80 year mark was quickly coming. The lease extension was finalised in June 2012. The freeholder’s charges were negotiated to slightly above 700 GBP.
Ms Amy Lefebvre purchased a first floor apartment in St Helens in February 1999. We are asked if we could shed any light on how much (roughly) premium could be for a ninety year extension to my lease. Comparable flats in St Helens with an extended lease were worth £275,000. The average ground rent payable was £55 billed per annum. The lease elapsed on 18 February 2103. Considering the 77 years remaining we calculated the premium to the freeholder to extend the lease to be within £13,300 and £15,400 plus expenses.
In 2011 we were e-mailed by Mr and Mrs. U Kelly who, having purchased a basement apartment in St Helens in April 2006. We are asked if we could shed any light on how much (roughly) price could be to extend the lease by a further 90 years. Similar premises in St Helens with an extended lease were valued around £183,600. The average ground rent payable was £65 billed yearly. The lease came to a finish in 2083. Taking into account 57 years unexpired we approximated the premium to the freeholder for the lease extension to be between £28,500 and £33,000 plus legals.