The only way is down when it comes to Tavistock lease terms. Tavistock properties that have a remaining term less than than eighty years will reduce in market price at a rapid rate, and the cost of extending your lease will increase.
It is generally accepted that a property with over one hundred years remaining is worth approximately the same as a freehold. Where an additional 90 years added to any lease with more than 30 years unexpired, the premises will be worth the same as 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. |
| 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. |
| 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 |
| TSB | Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption. |
Irrespective of whether you are a tenant or a freeholder in Tavistock,the lease extension solicitors that we work with will always be happy to discuss any residential leasehold matters and offer you the benefit of their in-depth market knowledge and the close ties they enjoy with Tavistock valuers.
Trailing protracted correspondence with the freeholder of her purpose-built apartment in Tavistock, Rachael started the lease extension process as the eighty year deadline was fast advancing. The lease extension was concluded in May 2013. The freeholder’s fees were kept to an absolute minimum.
Last month we were called by Mrs H Kelly , who owned a ground floor apartment in Tavistock in August 1997. The question was if we could approximate the premium would likely be for a 90 year lease extension. Similar premises in Tavistock with 100 year plus lease were in the region of £173,800. The average amount of ground rent was £65 collected every twelve months. The lease expired in 2080. Given that there were 55 years unexpired we calculated the compensation to the freeholder to extend the lease to be between £31,400 and £36,200 exclusive of professional charges.
Mrs Elizabeth Davies acquired a one bedroom apartment in Tavistock in April 1996. We are asked if we could estimate the compensation to the landlord would be to extend the lease by a further 90 years. Comparable homes in Tavistock with 100 year plus lease were worth £235,200. The mid-range amount of ground rent was £45 collected per annum. The lease finished in 2091. Considering the 66 years as a residual term we calculated the compensation to the freeholder to extend the lease to be within £12,400 and £14,200 not including fees.