Owning a apartment usually means owning a lease of the property, this is a ‘time-limited’ interest becoming shorter every day. This lease will usually be granted for a set period of time , ordinarily 99 or 125 years, although we have seen longer and shorter terms in Sunbury On Thames. Clearly, the length of lease remaining reduces as time goes by. This may slip by relatively unnoticed when the residence needs to be disposed of or refinanced. The fewer the years remaining the lower the value of the property and the more expensive it will be to procure a lease extension. Qualifying long lease owners in Sunbury On Thames have the right to extend the lease for a further 90 years in accordance with Leasehold Reform legislation. Please give due consideration before delaying your Sunbury On Thames lease extension. Putting off the cost now likely increases the price you will ultimately have to pay to extend your lease
It is conventional wisdom that a property with over one hundred years remaining is worth approximately the equivalent as a freehold. Where an additional 90 years added to any lease with more than 35 years left, the premises will be equivalent in value to a freehold for decades to come.
| Lender | Requirement |
|---|---|
| Barnsley Building Society | 60 years from the date of the mortgage application subject to 35 years remaining at the end of the mortgage term. |
| 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. |
| Lloyds TSB Scotland | Minimum 70 years from the date of the mortgage. |
| 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. |
Lease extensions in Sunbury On Thames can be a difficult process. We recommend you procure guidance from a lawyer and surveyor with experience in this area.
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 Sunbury On Thames lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Max owned a conversion flat in Sunbury On Thames on the market with a lease of a little over fifty eight years left. Max informally spoke with his landlord being a well known Bristol-based freehold company and enquired on a premium to extend the lease. The freeholder was prepared to grant an extension on non-statutory terms taking the lease to 125 years on the basis of a new rent at the outset set at £150 per annum and increase every 25 years thereafter. No ground rent would be due on a lease extension were Max to exercise his statutory right. Max obtained expert advice and was able to make an informed decision and deal with the matter and readily saleable.
In 2012 we were approached by Dr Riley Rogers who, having purchased a ground floor flat in Sunbury On Thames in August 2003. We are asked if we could shed any light on how much (approximately) compensation to the landlord would likely be to extend the lease by an additional years. Comparable premises in Sunbury On Thames with an extended lease were valued around £265,000. The mid-range amount of ground rent was £50 billed monthly. The lease came to a finish on 27 August 2100. Having 74 years remaining we approximated the compensation to the freeholder for the lease extension to be within £9,500 and £11,000 not including professional charges.
An example of a Lease Extension decision for a Sunbury On Thames property is 147 Redford Close in June 2012. The Tribunal determined the lease extension premium to be at £4,200 This case related to 1 flat. The unexpired term was 82.93 years.