Chances are that if you own a flat in Sunningdale you actually own a long leasehold interest over your property
It is conventional wisdom that a property with over one hundred years unexpired lease term is worth approximately the same as a freehold. Where an additional 90 years added to all but the shortest lease, the residence will be equivalent in value to a freehold for decades to come.
| Lender | Requirement |
|---|---|
| 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. |
| 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. |
| TSB | Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption. |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
| 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. |
Irrespective of whether you are a tenant or a landlord in Sunningdale,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 Sunningdale valuers.
Edward was the the leasehold owner of a studio apartment in Sunningdale being sold with a lease of just over 61 years outstanding. Edward informally contacted his landlord a well known Bristol-based freehold company and enquired on a premium to extend the lease. The landlord indicated a willingness to grant an extension taking the lease to 125 years subject to a rise in the rent to £100 yearly. No ground rent would be payable on a lease extension were Edward to exercise his statutory right. Edward obtained expert advice and was able to make an informed decision and handle with the matter and ending up with a market value flat.
Mr and Mrs. N Williams bought a recently refurbished flat in Sunningdale in August 2005. The dilemma was if we could estimate the premium would likely be to prolong the lease by 90 years. Comparable residencies in Sunningdale with 100 year plus lease were worth £208,200. The mid-range amount of ground rent was £65 billed every twelve months. The lease finished on 1 July 2086. Having 61 years unexpired we calculated the premium to the landlord for the lease extension to be within £20,000 and £23,000 exclusive of professional charges.
Last Winter we were e-mailed by Mr and Mrs. W Lefèvre , who bought a garden apartment in Sunningdale in April 2008. The dilemma was if we could estimate the price would be to extend the lease by ninety years. Comparable premises in Sunningdale with 100 year plus lease were in the region of £260,000. The mid-range ground rent payable was £50 invoiced quarterly. The lease elapsed in 2097. Taking into account 72 years outstanding we calculated the premium to the landlord for the lease extension to be within £9,500 and £11,000 exclusive of legals.