Wallasey residential property held on a long lease is a depreciating asset as the leaseholder merely owns the property for a period of years.
Leasehold residencies in Wallasey with in excess of one hundred years left on the lease are often referred to as ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your premises. In such circumstances there is often little to be gained by buying the freehold unless savings on ground rent and maintenance charges warrant it.
| 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. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
| Lloyds TSB Scotland | Minimum 70 years from the date of the mortgage. |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
Regardless of whether you are a tenant or a freeholder in Wallasey,the lease extension solicitors that we work with will always be willing to discuss any residential leasehold matters and offer you the benefit of their experience and the close ties they enjoy with Wallasey valuers.
Subsequent to lengthy correspondence with the freeholder of her ground floor flat in Wallasey, Charlotte commenced the lease extension process just as her lease was coming close to the critical 80-year mark. The lease extension was finalised in November 2007. The landlord’s fees were restricted to a tad over 500 pounds.
Mrs Megan Mason took over the lease of a one bedroom flat in Wallasey in October 2008. The question was if we could estimate the compensation to the landlord would be to prolong the lease by 90 years. Comparative flats in Wallasey with an extended lease were in the region of £285,000. The average ground rent payable was £45 invoiced quarterly. The lease terminated on 6 March 2096. Having 72 years remaining we approximated the compensation to the freeholder to extend the lease to be within £12,400 and £14,200 exclusive of costs.
Last Spring we were approach by Ms E Simon , who owned a ground floor flat in Wallasey in April 1996. We are asked if we could estimate the premium would be for a ninety year lease extension. Comparable properties in Wallasey with a long lease were in the region of £233,200. The mid-range ground rent payable was £60 billed every twelve months. The lease ran out on 16 May 2085. Considering the 61 years unexpired we approximated the compensation to the freeholder to extend the lease to be between £22,800 and £26,400 not including expenses.