The only way is down when it comes to Umberleigh lease terms. Umberleigh leaseholds that have a lease term shorter than eighty years will de-escalate in value at a rapid rate, and the cost to extend your lease will rise.
Leasehold properties in Umberleigh with over 100 years remaining on the lease are often regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your premises. In such situations there is often little to be gained by buying the reversionary interest unless savings on ground rent and estate charges merit it.
| 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. |
| 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. |
| Halifax | Minimum 70 years from the date of the mortgage. |
| Lloyds TSB Scotland | Minimum 70 years from the date 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 |
Lease extensions in Umberleigh can be a difficult process. We recommend you obtain guidance from a lawyer and valuer with experience in lease extensions.
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 Umberleigh lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Half a year ago James, came perilously close to the eighty-year threshold with the lease on his studio apartment in Umberleigh. Having purchased his home 19 years ago, the length of the lease was of minimal concern. As luck would have it, he realised he would soon be paying an inflated amount for a lease extension. James arranged for a lease extension just under the wire in July. James and the freeholder eventually settled on sum of £5,000 . If the lease had gone to less than 80 years, the figure would have gone up by at least £1,000.
Last Summer we were contacted by Dr O Mason , who was assigned a lease of a studio apartment in Umberleigh in September 2012. We are asked if we could estimate the premium could be for a ninety year lease extension. Identical premises in Umberleigh with a long lease were valued around £206,200. The average ground rent payable was £60 billed annually. The lease terminated on 19 November 2081. Considering the 56 years remaining we approximated the compensation to the freeholder for the lease extension to be within £31,400 and £36,200 plus costs.
Last Autumn we were approach by Ms Abbie Dupont , who moved into a one bedroom apartment in Umberleigh in October 1999. We are asked if we could shed any light on how much (roughly) compensation to the landlord would be for a ninety year lease extension. Comparable flats in Umberleigh with a long lease were worth £300,000. The mid-range ground rent payable was £50 billed annually. The lease end date was in 2101. Taking into account 76 years outstanding we estimated the premium to the landlord for the lease extension to be between £8,600 and £9,800 not including expenses.