Owning a flat usually means owning a lease of the property, which has a set term of years. This lease will usually be granted for a fixed period of time , usually 99 or 125 years, although we have seen longer and shorter terms in St Mawes. Clearly, the term of lease remaining shortens over time. This is often ignored and only raises itself as an issue when the flat or house needs to be sold or re-mortgaged. The shorter the lease the lower the value of the property and the more it will cost to extend the lease. Eligible long lease owners in St Mawes have the legal entitlement to extend the lease for an additional ninety years under Leasehold Reform legislation. Do give careful deliberation before putting off your St Mawes lease extension. Holding off that expense now only increases the price you will eventually incur for a lease extension
Leasehold residencies in St Mawes with in excess of one hundred years unexpired on the lease are often referred to as ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your property. In such situations there is often little to be gained by purchasing the freehold unless savings on ground rent and estate charges justify it.
| Lender | Requirement |
|---|---|
| Accord Mortgages | 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. |
| Birmingham Midshires | Minimum 70 years from the date 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. |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
Lease extensions in St Mawes can be a difficult process. We recommend you obtain guidance 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 St Mawes lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Following unsuccessful negotiations with the landlord of her purpose-built flat in St Mawes, Bethan initiated the lease extension process as the eighty year threshold was swiftly coming. The transaction completed in July 2013. The landlord’s charges were kept to an absolute minimum.
Ms W Smith acquired a garden apartment in St Mawes in June 1997. The dilemma was if we could shed any light on how much (approximately) price would likely be for a 90 year lease extension. Similar homes in St Mawes with a long lease were valued around £246,800. The mid-range ground rent payable was £60 billed monthly. The lease ran out on 9 April 2075. Having 50 years left we approximated the compensation to the freeholder to extend the lease to be between £44,700 and £51,600 not including professional charges.
Mr N Sharif owned a ground floor flat in St Mawes in January 2007. We are asked if we could shed any light on how much (roughly) premium could be for a ninety year extension to my lease. Identical residencies in St Mawes with a long lease were valued about £208,200. The average amount of ground rent was £65 billed yearly. The lease end date was on 12 June 2086. Given that there were 61 years unexpired we approximated the premium to the freeholder for the lease extension to be within £20,000 and £23,000 not including professional charges.