The basic rule is, all other factors being equal, the shorter the lease the more expensive the premium. Qualifying leaseholders in Washington can extend the lease for a further 90 years under legislation. Please give careful consideration before delaying your Washington lease extension. Putting off that expense today simply increases the premium you will eventually be required to pay for a lease extension.
Leasehold premises in Washington with over one hundred years remaining 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 property. In such situations there is often little to be gained by buying the reversionary interest unless savings on ground rent and estate charges justify 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. |
| 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. |
| Lloyds TSB Scotland | Minimum 70 years from the date 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 freeholder in Washington,the lease extension experts that we work with will always be happy to discuss any residential leasehold matters and offer you the benefit of their experience and the close ties they enjoy with Washington valuers.
After protracted correspondence with the freeholder of her two bedroom apartment in Washington, Kate initiated the lease extension process as the 80 year deadline was rapidly coming. The transaction was concluded in January 2005. The landlord’s costs were kept to an absolute minimum.
In 2014 we were e-mailed by Dr R Stewart who, having completed a studio flat in Washington in April 2007. The dilemma was if we could approximate the price could be for a ninety year lease extension. Similar residencies in Washington with an extended lease were valued around £210,000. The mid-range amount of ground rent was £50 billed annually. The lease came to a finish in 2106. Having 80 years left we estimated the compensation to the freeholder to extend the lease to be between £8,600 and £9,800 plus costs.
Last Winter we were phoned by Ms I André , who completed a studio flat in Washington in May 2002. The dilemma was if we could shed any light on how much (roughly) compensation to the landlord would likely be to extend the lease by a further 90 years. Comparative premises in Washington with an extended lease were valued about £275,000. The average ground rent payable was £45 billed annually. The lease finished in 2095. Considering the 69 years left we estimated the compensation to the landlord to extend the lease to be between £12,400 and £14,200 exclusive of fees.