Stallingborough leases on domestic properties are gradually losing value. if your lease has approximately ninety years unexpired, you should start thinking about a lease extension. 80 years is a significant number: when the remaining term of a lease dips below this level then you start paying an additional element called marriage value. Leasehold owners in Stallingborough will mostly be legally entitled to a lease extension; however it’s a good idea to check with a conveyancer to check if you qualify. In some situations you may not be entitled. There are also strict deadlines and formalities to comply with once the process has commenced so it’s best to be guided by a conveyancer during the process.
Leasehold properties in Stallingborough with more than 100 years unexpired on the lease are sometimes 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 upside in buying the freehold unless savings on ground rent and service charges merit 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. |
| 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 be at least 75 years plus the term of the mortgage at the outset of the mortgage. |
| TSB | Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption. |
Engaging our service will provide you increased control over the value of your Stallingborough leasehold, as your property will be more valuable and saleable in respect of lease length should you wish to sell. The lawyers that we work with have a wealth of experience of handling many hundreds of lease extensions or freehold purchase transactions.
In the wake of 6 months of protracted discussions with the landlord of her one bedroom flat in Stallingborough, Rhiannon started the lease extension process just as the lease was coming close to the all-important 80-year mark. The transaction completed in November 2006. The freeholder’s costs were kept to an absolute minimum.
Dr Kate Pérez bought a one bedroom apartment in Stallingborough in March 2004. The dilemma was if we could estimate the compensation to the landlord could be to extend the lease by 90 years. Identical properties in Stallingborough with a long lease were in the region of £270,000. The mid-range ground rent payable was £55 invoiced monthly. The lease lapsed on 20 March 2101. Taking into account 75 years unexpired we estimated the premium to the landlord for the lease extension to be between £9,500 and £11,000 not including professional charges.
Last November we were contacted by Dr U Cook , who took over the lease of a first floor apartment in Stallingborough in April 1998. The question was if we could shed any light on how much (roughly) compensation to the landlord would likely be to prolong the lease by a further 90 years. Comparable homes in Stallingborough with an extended lease were worth £173,800. The average amount of ground rent was £60 invoiced quarterly. The lease lapsed on 20 March 2081. Given that there were 55 years outstanding we calculated the premium to the freeholder for the lease extension to be within £31,400 and £36,200 not including costs.