Tickhill leases on residential properties are gradually decreasing in value. The shorter the remaining lease term becomes, the less it is worth – and accordingly any extension of the lease becomes more expensive. The majority of owners of residential leasehold property in Tickhill enjoy rights under legislation to extend the terms of their leases. Where you are a leasehold owner in Tickhill you would be well advised to investigate if your lease has between seventy and 90 years remaining. There are good reasons why a Tickhill leaseholder with a lease having around 80 years unexpired should take action to make sure that a lease extension is put in place without delay
It is conventional wisdom that a residential leasehold with more than one hundred years remaining is worth roughly the equivalent as a freehold. Where an further 90 years added to any lease with more than 30 years left, the premises will be equivalent in value to a freehold for many years ahead.
| Lender | Requirement |
|---|---|
| Accord Mortgages | 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. |
| Halifax | Minimum 70 years from the date of the mortgage. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
| 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. |
Retaining our service will provide you enhanced control over the value of your Tickhill leasehold, as your property will be more valuable and saleable in terms of lease length should you wish to sell. The conveyancing solicitors that we work with are well versed in the legislation handling many hundreds of lease extensions or freehold purchase transactions.
Blake was the the leasehold proprietor of a conversion flat in Tickhill being marketed with a lease of a little over 61 years outstanding. Blake on an informal basis contacted his freeholder a well known London-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 on the basis of an increased rent to £50 yearly. Ordinarily, ground rent would not be due on a lease extension were Blake to exercise his statutory right. Blake obtained expert legal guidance and secured satisfactory resolution informally and ending up with a market value flat.
Mr Jacob Gunderson bought a studio flat in Tickhill in July 2006. We are asked if we could approximate the price would be to extend the lease by 90 years. Similar residencies in Tickhill with an extended lease were in the region of £290,000. The average ground rent payable was £45 collected annually. The lease ran out on 19 April 2099. Considering the 73 years as a residual term we calculated the compensation to the freeholder to extend the lease to be between £9,500 and £11,000 exclusive of fees.
Last year we were called by Dr H Bailey , who was assigned a lease of a studio apartment in Tickhill in June 2009. The dilemma was if we could estimate the compensation to the landlord would likely be to extend the lease by ninety years. Similar properties in Tickhill with 100 year plus lease were worth £240,600. The average ground rent payable was £60 collected annually. The lease finished on 24 February 2088. Considering the 62 years remaining we calculated the premium to the landlord to extend the lease to be between £21,900 and £25,200 plus fees.