The nearer a domestic lease in Stoke Sub Hamdon gets to zero years unexpired, the more it reduces the value of the property. If the residual term has, more than 100 years remaining then this decrease may be fractional that being said there will become a stage when a lease has under than eighty years remaining as part of the premium you will incur is what is termed as a marriage value. This could increase sharply the cost. It is the primary reason why you should consider extending without delay. Many flat owners in Stoke Sub Hamdon will meet the qualifying criteria; that being said a conveyancer should be able to advise if you are eligible for a lease extension. In limited situations you may not qualify, the most frequent reason being that you have owned the property for less than two years.
It is generally considered that a residential leasehold with more than 100 years remaining is worth approximately the equivalent as a freehold. Where an further 90 years added to any lease with more than 30 years remaining, the property will be worth the same as a freehold for decades to come.
| 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. |
| Bank of Scotland | Minimum 70 years from the date of the mortgage. |
| Birmingham Midshires | Minimum 70 years from the date of the mortgage. |
| 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. |
| 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 Stoke Sub Hamdon,the lease extension lawyers that we work with will always be happy to discuss any residential leasehold matters and offer you the benefit of their in-depth market knowledge and the close ties they enjoy with Stoke Sub Hamdon valuers.
Austin owned a conversion apartment in Stoke Sub Hamdon on the market with a lease of just over 59 years outstanding. Austin informally spoke with his landlord a well known London-based freehold company for a lease extension. The landlord was prepared to give an extension on non-statutory terms taking the lease to 125 years subject to a rise in the rent to £200 per annum. Ordinarily, ground rent would not be payable on a lease extension were Austin to invoke his statutory right. Austin obtained expert advice and was able to make an informed decision and deal with the matter and readily saleable.
Dr Joseph Clark owned a basement flat in Stoke Sub Hamdon in April 1996. The dilemma was if we could approximate the compensation to the landlord would likely be for a 90 year lease extension. Similar flats in Stoke Sub Hamdon with an extended lease were worth £191,400. The mid-range ground rent payable was £55 invoiced monthly. The lease finished on 6 June 2079. Taking into account 54 years left we calculated the premium to the landlord for the lease extension to be between £34,200 and £39,600 exclusive of expenses.
Mrs Chantelle Hernández purchased a studio flat in Stoke Sub Hamdon in July 1999. We are asked if we could approximate the premium would be to extend the lease by ninety years. Comparable premises in Stoke Sub Hamdon with an extended lease were valued about £295,000. The mid-range amount of ground rent was £45 invoiced per annum. The lease concluded on 4 September 2099. Given that there were 74 years as a residual term we approximated the premium to the landlord for the lease extension to be within £9,500 and £11,000 plus expenses.