There is no doubt about it a leasehold property in Stratford Upon Avon is a wasting asset as a result of the diminishing lease term. If the residual term has, beyond 125 years to run then this decrease may be negligible nevertheless there will become a stage when a lease has less than eighty years remaining as part of the premium you will incur is what is termed as a marriage value. This could be significant. It is the main reason why you should consider extending without delay. Most flat owners in Stratford Upon Avon will meet the qualifying criteria; that being said a lawyer can advise if you qualify for a lease extension. In limited situations you may not qualify, the most frequent reason being that you have not been the owner of the property for two years.
Leasehold premises in Stratford Upon Avon with more than one hundred years unexpired on the lease are often regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your premises. In such situations there is often little upside in buying the freehold unless savings on ground rent and service charges justify it.
| Lender | Requirement |
|---|---|
| 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. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
| Lloyds TSB Scotland | Minimum 70 years from the date of the mortgage. |
| National Westminster Bank | Mortgage term plus 30 years. |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
Regardless of whether you are a tenant or a landlord in Stratford Upon Avon,the lease extension lawyers that we work with will always be willing to discuss any residential leasehold matters and offer you the benefit of their experience and the close ties they enjoy with Stratford Upon Avon valuers.
Eliot owned a high value flat in Stratford Upon Avon being sold with a lease of fraction over 61 years left. Eliot informally spoke with his freeholder a well known London-based freehold company for a lease extension. The freeholder was prepared to agree an extension on non-statutory terms taking the lease to 125 years subject to a new rent at the outset set at £200 per annum and increase every twenty five years thereafter. Ordinarily, ground rent would not be due on a lease extension were Eliot to invoke his statutory right. Eliot procured expert legal guidance and was able to make an informed decision and handle with the matter and sell the flat.
In 2010 we were contacted by Mr and Mrs. M Williams who, having moved into a garden apartment in Stratford Upon Avon in August 1998. The dilemma was if we could shed any light on how much (approximately) price would be for a 90 year extension to my lease. Identical homes in Stratford Upon Avon with 100 year plus lease were worth £174,200. The average amount of ground rent was £55 invoiced per annum. The lease came to a finish in 2076. Given that there were 51 years outstanding we estimated the premium to the freeholder for the lease extension to be between £31,400 and £36,200 plus professional charges.
Dr Joshua Roux moved into a studio flat in Stratford Upon Avon in August 2012. The dilemma was if we could shed any light on how much (approximately) price would likely be to extend the lease by ninety years. Comparable homes in Stratford Upon Avon with a long lease were worth £285,000. The average ground rent payable was £45 collected every twelve months. The lease ran out on 10 November 2096. Taking into account 71 years remaining we calculated the premium to the landlord for the lease extension to be between £12,400 and £14,200 not including expenses.