The only way is down when it comes to Torrington lease terms. Torrington properties that have a remaining term fewer than eighty years will reduce in market price even faster, and the cost to extend your lease will go up.
It is conventional wisdom that a property with in excess of 100 years remaining is worth approximately the equivalent as a freehold. Where an further 90 years added to all but the shortest lease, the residence will be worth the same as a freehold for many years ahead.
| Lender | Requirement |
|---|---|
| Bank of Scotland | 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. |
| Godiva Mortgages | 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 |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
Lease extensions in Torrington can be a difficult process. We recommend you procure guidance from a conveyancer and surveyor 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 Torrington lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
During the course of the last few months Finn, came seriously close to the 80-year threshold with the lease on his first floor apartment in Torrington. Having bought his property 19 years ago, the unexpired term was of minimal interest. Luckily, he noticed he needed to take action soon on Extending the lease. Finn was able to extend his lease just in the nick of time in September. Finn and the landlord who owned the flat above subsequently settled on an amount of £6,000 . If he had missed the deadline, the premium would have escalated by a minimum £925.
Dr Alexander Simon purchased a recently refurbished apartment in Torrington in October 2012. We are asked if we could shed any light on how much (roughly) price could be to extend the lease by a further 90 years. Comparable residencies in Torrington with 100 year plus lease were worth £215,600. The average ground rent payable was £45 invoiced yearly. The lease finished on 6 September 2086. Taking into account 62 years remaining we estimated the compensation to the landlord for the lease extension to be between £18,100 and £20,800 not including costs.
Mr and Mrs. T Evans purchased a ground floor flat in Torrington in June 2006. We are asked if we could estimate the compensation to the landlord could be for a ninety year lease extension. Similar homes in Torrington with an extended lease were worth £265,000. The mid-range ground rent payable was £50 billed annually. The lease elapsed on 10 January 2097. Considering the 73 years as a residual term we calculated the premium to the landlord to extend the lease to be between £9,500 and £11,000 exclusive of fees.