The only way is down when it comes to Upper Tean lease terms. Upper Tean leaseholds that have a residual term shorter than eighty years will reduce in value at a rapid rate, and the cost to extend your lease will go up.
Leasehold premises in Upper Tean with more than one hundred years left on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your premises. In such circumstances there is often little upside in buying the reversionary interest unless savings on ground rent and service charges merit it.
| Lender | Requirement |
|---|---|
| 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. |
| Halifax | Minimum 70 years from the date of the mortgage. |
| National Westminster Bank | Mortgage term plus 30 years. For Shared Ownership, the remaining term of the lease must be at least 75 years plus the term of the mortgage at the outset of the mortgage. |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
Irrespective of whether you are a tenant or a landlord in Upper Tean,the lease extension solicitors that we work with will always be prepared to discuss any residential leasehold matters and offer you the benefit of their experience and the close ties they enjoy with Upper Tean valuers.
Elijah was the the leasehold owner of a studio flat in Upper Tean on the market with a lease of fraction over sixty years remaining. Elijah informally approached his freeholder a well known local-based freehold company and enquired on a premium to extend the lease. The freeholder was keen to give an extension on non-statutory terms taking the lease to 125 years on the basis of a rise in the rent to £100 yearly. Ordinarily, ground rent would not be due on a lease extension were Elijah to invoke his statutory right. Elijah obtained expert legal guidance and was able to make an informed judgement and deal with the matter and readily saleable.
Mr and Mrs. F Morgan was assigned a lease of a purpose-built flat in Upper Tean in May 1995. We are asked if we could approximate the compensation to the landlord would likely be for a ninety year extension to my lease. Comparative residencies in Upper Tean with 100 year plus lease were valued about £198,800. The average ground rent payable was £55 billed every twelve months. The lease concluded in 2081. Having 55 years left we calculated the premium to the freeholder to extend the lease to be between £33,300 and £38,400 plus legals.
Mr Edward Bertrand purchased a purpose-built apartment in Upper Tean in February 2011. The dilemma was if we could shed any light on how much (roughly) compensation to the landlord would likely be for a 90 year lease extension. Identical properties in Upper Tean with a long lease were valued around £300,000. The mid-range amount of ground rent was £50 collected yearly. The lease ran out on 8 March 2102. Taking into account 76 years remaining we calculated the compensation to the landlord for the lease extension to be within £8,600 and £9,800 not including fees.