Stokenchurch leases on domestic properties are gradually losing value. Where your lease has approximately 90 years remaining, you should start thinking about a lease extension. 80 years is a significant number: when the unexpired term of a lease drops below this level then you begin paying an additional element called marriage value. Flat owners in Stokenchurch will usually be legally entitled to a lease extension; however a solicitor should be able check if you qualify. In some situations you may not qualify. There are also strict timetables and procedures to follow once the process has commenced so it’s wise to be guided by a conveyancing solicitor during the process.
It is generally considered that a property with more than one hundred years remaining is worth approximately the same as a freehold. Where an further 90 years added to any lease with more than 45 years unexpired, the property will be equivalent in value to a freehold for many years in the future.
| 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. |
| Halifax | 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 |
| TSB | Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption. |
Regardless of whether you are a tenant or a freeholder in Stokenchurch,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 experience and the close ties they enjoy with Stokenchurch valuers.
Subsequent to lengthy correspondence with the freeholder of her studio apartment in Stokenchurch, Francesca initiated the lease extension process as the 80 year threshold was rapidly nearing. The lease extension was finalised in September 2015. The landlord’s costs were kept to an absolute minimum.
Mrs Lily Baker moved into a purpose-built apartment in Stokenchurch in September 2002. The question was if we could estimate the premium could be for a 90 year extension to my lease. Identical properties in Stokenchurch with a long lease were valued about £206,200. The average amount of ground rent was £60 collected per annum. The lease expired on 15 June 2081. Considering the 56 years unexpired we approximated the compensation to the landlord to extend the lease to be between £32,300 and £37,400 exclusive of costs.
Mr and Mrs. V Brooks bought a studio flat in Stokenchurch in November 2010. We are asked if we could estimate the price would likely be to extend the lease by ninety years. Comparable flats in Stokenchurch with a long lease were valued around £300,000. The mid-range ground rent payable was £50 billed quarterly. The lease ended in 2101. Considering the 76 years unexpired we estimated the premium to the landlord for the lease extension to be between £8,600 and £9,800 plus professional charges.