Swavesey residential property held on a long lease is a wasting asset as the leaseholder only owns the property for a set term.
Leasehold premises in Swavesey with more than 100 years unexpired on the lease are sometimes referred to as ‘virtual freehold’. This is where the lease value the same as a freehold interest in your property. In such situations there is often little upside in purchasing the reversionary interest unless savings on ground rent and maintenance charges merit it.
| Lender | Requirement |
|---|---|
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
| 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. |
| 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. |
Lease extensions in Swavesey can be a difficult process. We recommend you obtain guidance from a lawyer and valuer 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 in-depth market knowledge dealing with Swavesey lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
After lengthy discussions with the freeholder of her first floor flat in Swavesey, Katherine started the lease extension process just as the lease was coming close to the crucial 80-year deadline. The lease extension was concluded in September 2009. The landlord’s fees were kept to an absolute minimum.
Dr Henry Johnson took over the lease of a studio apartment in Swavesey in February 2005. We are asked if we could approximate the price would likely be for a ninety year extension to my lease. Comparative flats in Swavesey with a long lease were valued about £290,000. The average amount of ground rent was £45 billed per annum. The lease ran out in 2099. Having 73 years outstanding we estimated the premium to the freeholder for the lease extension to be between £8,600 and £9,800 exclusive of expenses.
Mr and Mrs. P Smith took over the lease of a purpose-built apartment in Swavesey in March 2012. The question was if we could shed any light on how much (roughly) premium could be to extend the lease by an additional years. Similar properties in Swavesey with 100 year plus lease were worth £240,600. The average ground rent payable was £60 invoiced every twelve months. The lease concluded in 2088. Considering the 62 years remaining we calculated the premium to the landlord for the lease extension to be within £21,900 and £25,200 not including legals.