For those whose Standish property is held on a long lease, our message is clear – if no remedial action is taken, the property will eventually revert to your landlord, leaving you empty-handed. The fewer the years remaining the lower the value of the property and the more expensive it will be to extend the lease.
Leasehold premises in Standish with in excess of 100 years unexpired on the lease are often regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your property. In such situations there is often little upside in purchasing the reversionary interest unless savings on ground rent and service charges merit it.
| Lender | Requirement |
|---|---|
| Coventry Building Society | 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. |
| 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. |
| Santander | If the property is leasehold, the remaining unexpired lease term at the end of the new mortgage term must be at least 50 years where any part of the mortgage is on Interest Only and 30 years if all loan parts are on Capital Repayment and Interest. You must report the unexpired lease term to us and await our instructions if:
|
| 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 Standish can be a difficult process. We recommend you obtain guidance from a conveyancer and valuer 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 a wealth of experience dealing with Standish lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Last year Tommy, started to get near to the 80-year threshold with the lease on his basement apartment in Standish. Having bought his flat two decades ago, the unexpired term was of minimal importance. by good luck, he realised he would imminently be paying an escalated premium for Extending the lease. Tommy extended the lease at the eleventh hour last June. Tommy and the freeholder eventually settled on sum of £6,000 . If he failed to meet the deadline, the amount would have escalated by a minimum £1,025.
Dr D Kelly acquired a garden apartment in Standish in April 2000. The question was if we could approximate the premium would likely be to prolong the lease by ninety years. Similar residencies in Standish with an extended lease were valued around £193,400. The average ground rent payable was £65 invoiced monthly. The lease lapsed in 2085. Having 59 years unexpired we approximated the premium to the freeholder for the lease extension to be between £21,900 and £25,200 exclusive of costs.
In 2013 we were approached by Mr U Morgan who, having was assigned a lease of a garden apartment in Standish in April 2002. We are asked if we could approximate the premium could be to prolong the lease by an additional years. Similar premises in Standish with 100 year plus lease were valued about £255,000. The average ground rent payable was £50 invoiced monthly. The lease finished on 21 June 2096. Considering the 70 years unexpired we estimated the premium to the landlord to extend the lease to be between £10,500 and £12,000 plus legals.