On the balance of probabilities where you own a flat in Thornaby on Tees you actually own a long leasehold interest over your property
It is generally considered that a residential leasehold with in excess of one hundred years remaining is worth roughly the same as a freehold. Where an further 90 years added to all but the shortest lease, the property 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. |
| 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. |
| 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. |
Lease extensions in Thornaby on Tees can be a difficult process. We recommend you obtain guidance from a conveyancer and surveyor well versed in the legislation and lease extension process.
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 Thornaby on Tees lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Last October Benjamin, came critically close to the 80-year threshold with the lease on his ground floor apartment in Thornaby on Tees. Having bought his home two decades ago, the length of the lease was of no relevance. Luckily, he noticed he needed to take action soon on a lease extension. Benjamin arranged for a lease extension at the eleventh hour last March. Benjamin and the freeholder ultimately settled on sum of £5,000 . If he failed to meet the deadline, the sum would have escalated by a minimum £1,000.
Last year we were approach by Mr Muhammad Vincent , who owned a ground floor flat in Thornaby on Tees in July 2008. The question was if we could approximate the premium could be for a ninety year lease extension. Comparative homes in Thornaby on Tees with an extended lease were valued around £267,600. The average amount of ground rent was £65 billed annually. The lease came to a finish on 14 August 2093. Considering the 67 years remaining we approximated the compensation to the freeholder for the lease extension to be within £14,300 and £16,400 plus costs.
Last month we were phoned by Mr and Mrs. E Phillips , who moved into a basement flat in Thornaby on Tees in September 2011. We are asked if we could estimate the price could be for a 90 year extension to my lease. Similar homes in Thornaby on Tees with a long lease were worth £201,200. The mid-range ground rent payable was £55 billed per annum. The lease expired on 13 June 2082. Considering the 56 years unexpired we calculated the compensation to the landlord to extend the lease to be within £31,400 and £36,200 exclusive of costs.