When it comes to long leasehold premises in Stourport On Severn, you are actually purchasing a right to live in a property for a set period of time. In recent years flat leases typically tend to be for 99 years or 125. Many leasehold owners become complacent as this seems like a long period of time, you should consider extending the lease sooner rather than later. Accepted thinking is that the shorter the lease is the cost of extending the lease increases markedly especially once there are fewer than 80 years remaining. Leasehold owners in Stourport On Severn with a lease drawing near to 81 years unexpired should seriously think of extending it sooner as opposed to later. Once a lease has fewer than eighty years left, under the current statute the freeholder can calculate and charge a larger amount, assessed on a technical computation, known as “marriage value” which is due.
It is generally accepted that a property with in excess of one hundred years unexpired lease term is worth roughly the same as a freehold. Where an additional ninety years added to all but the shortest lease, the property 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. |
| 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. |
| 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 |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
Lease extensions in Stourport On Severn can be a difficult process. We recommend you obtain guidance from a conveyancing solicitor and surveyor 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 procuring Stourport On Severn lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
In the wake of 9 months of unsuccessful discussions with the freeholder of her leasehold flat in Stourport On Severn, Niamh commenced the lease extension process as the 80 year threshold was quickly approaching. The legal work was concluded in April 2006. The freeholder’s fees were kept to an absolute minimum.
In 2012 we were phoned by Ms Elizabeth Davis who, having took over the lease of a newly refurbished apartment in Stourport On Severn in September 2011. We are asked if we could estimate the compensation to the landlord would be to prolong the lease by a further 90 years. Comparable homes in Stourport On Severn with a long lease were in the region of £245,000. The mid-range amount of ground rent was £45 collected per annum. The lease end date was in 2093. Considering the 68 years outstanding we calculated the compensation to the landlord for the lease extension to be within £9,500 and £11,000 plus expenses.
Last Autumn we were contacted by Mr and Mrs. G Petit , who owned a one bedroom apartment in Stourport On Severn in March 2007. The dilemma was if we could shed any light on how much (approximately) price could be to prolong the lease by a further 90 years. Comparative residencies in Stourport On Severn with 100 year plus lease were worth £280,000. The mid-range amount of ground rent was £55 billed every twelve months. The lease expired in 2104. Given that there were 79 years outstanding we approximated the premium to the freeholder to extend the lease to be between £12,400 and £14,200 not including expenses.