On the balance of probabilities where you own a flat in Ware you actually own a long leasehold interest over your property
It is generally considered that a property with in excess of one hundred years unexpired lease term is worth approximately the equivalent as a freehold. Where an additional ninety years added to any lease with more than 30 years left, the property will be worth the same as a freehold for many years ahead.
| Lender | Requirement |
|---|---|
| Chelsea 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. |
| Santander | You must report the unexpired lease term to us and await our instructions if: 1. the unexpired term assumed by our valuer is between 55 and 82 years, but the actual unexpired term differs by more than one year (whether longer or shorter); or 2. the unexpired term assumed by our valuer is more than 82 years but the actual unexpired term is less than 82 years; or 3. no valuation report is provided However, we will not accept a lease where on expiry of the mortgage: (i) less than 50 years remain and all or part of the loan is repaid on an interest-only basis: or (ii) less than 30 years remain and the loan is repaid on a capital and interest basis We will accept a lease that has been extended under the provisions of the Leasehold Reform Act 1993 provided statutory compensation would be available to the leaseholder. |
| 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 |
| TSB | Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption. |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
Lease extensions in Ware can be a difficult process. We recommend you get professional help from a lawyer 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 procuring Ware lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
After lengthy discussions with the freeholder of her one bedroom apartment in Ware, Jodie initiated the lease extension process just as the lease was nearing the critical 80-year threshold. The legal work was finalised in April 2011. The landlord’s fees were kept to an absolute minimum.
Dr Callum Petit purchased a purpose-built flat in Ware in June 2008. We are asked if we could shed any light on how much (roughly) premium would likely be to prolong the lease by 90 years. Comparable homes in Ware with an extended lease were valued about £260,000. The mid-range ground rent payable was £50 invoiced yearly. The lease terminated on 17 October 2098. Taking into account 72 years unexpired we estimated the compensation to the landlord for the lease extension to be between £9,500 and £11,000 not including professional charges.
Last Autumn we were approach by Dr Y Morgan , who was assigned a lease of a newly refurbished apartment in Ware in November 2012. We are asked if we could approximate the price would be for a ninety year extension to my lease. Similar properties in Ware with a long lease were in the region of £256,600. The average ground rent payable was £60 collected monthly. The lease finished in 2078. Taking into account 52 years left we estimated the premium to the freeholder to extend the lease to be within £39,000 and £45,000 plus professional charges.