The basic rule is, all other things holding equal, the shorter the lease the more expensive the premium. Qualifying leaseholders in Stoke Poges may extend the lease for an additional 90 years in accordance with Leasehold Reform legislation. Please think carefully before delaying your Stoke Poges lease extension. Putting off that expense today simply increases the price you will eventually be required to pay for a lease extension.
It is conventional wisdom that a residential leasehold with in excess of one hundred years unexpired lease term is worth roughly the equivalent as a freehold. Where an further 90 years added to any lease with more than 35 years remaining, the residence will be equivalent in value to a freehold for decades to come.
| Lender | Requirement |
|---|---|
| Bank of Scotland | Minimum 70 years from the date of the mortgage. |
| Barnsley Building Society | 60 years from the date of the mortgage application subject to 35 years remaining at the end of the mortgage term. |
| 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. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
Engaging our service will provide you enhanced control over the value of your Stoke Poges leasehold, as your property will be more valuable and marketable in respect of lease length should you decide to sell. The conveyancing solicitors that we work with are well versed in the legislation handling many hundreds of lease extensions or freehold purchase transactions.
Caleb owned a high value flat in Stoke Poges on the market with a lease of a little over fifty eight years unexpired. Caleb on an informal basis contacted his landlord a well known Bristol-based freehold company and enquired on a premium to extend the lease. The freeholder was keen to give an extension on non-statutory terms taking the lease to 125 years on the basis of an increased rent to £50 annually. Ordinarily, ground rent would not be due on a lease extension were Caleb to exercise his statutory right. Caleb obtained expert advice and secured an acceptable resolution without resorting to tribunal and ending up with a market value flat.
Ms M Girard purchased a first floor apartment in Stoke Poges in January 1997. We are asked if we could estimate the premium would be for a ninety year extension to my lease. Identical properties in Stoke Poges with an extended lease were in the region of £227,800. The mid-range amount of ground rent was £45 billed every twelve months. The lease lapsed in 2090. Given that there were 65 years outstanding we approximated the compensation to the landlord for the lease extension to be between £13,300 and £15,400 exclusive of costs.
In 2010 we were contacted by Mr and Mrs. F Watson who, having completed a ground floor apartment in Stoke Poges in July 2006. We are asked if we could estimate the premium would be to prolong the lease by 90 years. Similar properties in Stoke Poges with an extended lease were valued around £270,000. The average ground rent payable was £55 billed every twelve months. The lease came to a finish in 2101. Having 76 years outstanding we approximated the compensation to the freeholder for the lease extension to be within £9,500 and £11,000 not including fees.