Waterlooville leases on residential properties are gradually decreasing in value. The shorter the remaining lease term becomes, the less it is worth – and accordingly any extension of your lease becomes more expensive. Legislation has been in place for sometime now allowing qualifying Waterlooville residential leaseholders to extend the terms of long leases. Where you are a leasehold owner in Waterlooville you must see if your lease has between 70 and ninety years left. There are good reasons why a Waterlooville leaseholder with a lease having around 80 years remaining should take steps to ensure that a lease extension is actioned without delay
Leasehold residencies in Waterlooville with over one hundred years unexpired on the lease are sometimes referred to as ‘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 maintenance charges justify it.
| Lender | Requirement |
|---|---|
| Bank of Scotland | Minimum 70 years from the date of the mortgage. |
| Barnsley Building Society | 60 years from the date of the mortgage application subject to 35 years remaining at the end of the mortgage term. |
| 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. |
| 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 Waterlooville can be a difficult process. We recommend you secure guidance from a conveyancer and valuer well versed in the legislation and lease extension process.
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 Waterlooville lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Two years ago Seth, came critically near to the eighty-year threshold with the lease on his purpose- built flat in Waterlooville. In buying his home 18 years previously, the lease term was of minimal relevance. Thankfully, he noticed he would soon be paying an escalated premium for Extending the lease. Seth arranged for a lease extension at the eleventh hour in August. Seth and the freeholder in the end agreed on sum of £5,000 . If the lease had dipped below eighty years, the amount would have increased by a minimum £1,050.
Last Autumn we were phoned by Mr and Mrs. L Moreau , who took over the lease of a one bedroom flat in Waterlooville in March 2012. We are asked if we could shed any light on how much (approximately) premium would likely be to extend the lease by ninety years. Similar premises in Waterlooville with a long lease were in the region of £248,000. The average ground rent payable was £65 invoiced quarterly. The lease expired on 14 February 2089. Considering the 63 years left we calculated the compensation to the landlord for the lease extension to be within £20,900 and £24,200 plus costs.
In 2013 we were contacted by Mr and Mrs. F Gray who, having acquired a first floor apartment in Waterlooville in August 2000. We are asked if we could estimate the price would be for a ninety year lease extension. Comparable properties in Waterlooville with 100 year plus lease were worth £181,600. The average amount of ground rent was £55 invoiced monthly. The lease came to a finish on 10 August 2078. Given that there were 52 years remaining we estimated the compensation to the freeholder for the lease extension to be between £30,400 and £35,200 exclusive of professional charges.