Owning a flat usually means owning a lease of the property, which has a finite term of years. The lease will usually be granted for a set period of time , ordinarily 99 or 125 years, although we have come across longer and shorter terms in Stotfold. Clearly, the period of lease remaining shortens over time. This may pass by relatively unnoticed when the residence needs to be disposed of or re-mortgaged. The fewer the years remaining the lower the value of the property and the more expensive it will be to extend the lease. Qualifying leaseholders in Stotfold have the legal entitlement to extend the lease for an additional ninety years in accordance with legislation. Please give careful deliberation before delaying your Stotfold lease extension. Putting off that expense now simply increases the price you will ultimately have to pay for a lease extension
It is generally considered that a property with in excess of one hundred years remaining is worth roughly the same as a freehold. Where an further ninety years added to all but the shortest lease, the premises will be worth the same as a freehold for many years ahead.
| 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. |
| Chelsea 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. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
| Lloyds TSB Scotland | Minimum 70 years from the date of the mortgage. |
Regardless of whether you are a tenant or a freeholder in Stotfold,the lease extension lawyers that we work with will always be prepared to discuss any residential leasehold matters and offer you the benefit of their experience and the close ties they enjoy with Stotfold valuers.
Following protracted correspondence with the landlord of her purpose-built apartment in Stotfold, Hannah commenced the lease extension process as the eighty year threshold was quickly nearing. The transaction was concluded in April 2008. The freeholder’s fees were restricted to under 650 GBP.
Mr and Mrs. H Roberts moved into a ground floor apartment in Stotfold in January 2002. The question was if we could shed any light on how much (roughly) compensation to the landlord could be for a 90 year lease extension. Similar properties in Stotfold with a long lease were worth £290,000. The average ground rent payable was £45 billed annually. The lease elapsed on 27 June 2098. Given that there were 73 years remaining we estimated the compensation to the landlord for the lease extension to be within £9,500 and £11,000 not including fees.
Mr Adam Scott was assigned a lease of a basement apartment in Stotfold in August 2004. The question was if we could estimate the price could be to extend the lease by a further 90 years. Similar residencies in Stotfold with 100 year plus lease were valued around £240,600. The mid-range amount of ground rent was £60 collected quarterly. The lease finished on 26 March 2087. Given that there were 62 years left we approximated the premium to the freeholder for the lease extension to be between £21,900 and £25,200 exclusive of professional charges.