Owning a apartment usually means owning a lease of the property, which has a finite term of years. your lease will normally be granted for a fixed period of time , ordinarily 99 or 125 years, although we have come across longer and shorter terms in West Cross. Clearly, the term of lease left reduces as time goes by. This may slip by relatively unnoticed when the residence needs to be disposed of or refinanced. The shorter the lease the lower the value of the property and the more expensive it will be to obtain a lease extension. Eligible long lease owners in West Cross have the right to extend the lease for a further 90 years under the 1993 Leasehold Reform Act. Please give careful consideration before putting off your West Cross lease extension. Holding off that expense now simply increases the price you will eventually have to pay for a lease extension
It is generally considered that a property with more than 100 years unexpired lease term is worth roughly the equivalent as a freehold. Where an further 90 years added to all but the shortest lease, the residence will be equivalent in value to a freehold for many years ahead.
| 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. |
| Bank of Scotland | Minimum 70 years from the date of the mortgage. |
| Birmingham Midshires | Minimum 70 years from the date of the mortgage. |
| Leeds Building Society | 85 years remaining from the start 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. |
Lease extensions in West Cross can be a difficult process. We recommend you get professional help from a conveyancer and valuer 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 a wealth of experience dealing with West Cross lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Half a year ago Lewis, came very near to the eighty-year mark with the lease on his first floor flat in West Cross. In buying his property two decades ago, the unexpired term was of no relevance. Luckily, he recognised he would imminently be paying an escalated premium for Extending the lease. Lewis arranged for a lease extension just under the wire in March. Lewis and the landlord who owned the flat above in the end settled on sum of £5,000 . If the lease had slipped lower than eighty years, the sum would have become more exhorbitant by at least £1,025.
Mr and Mrs. V Rogers owned a one bedroom flat in West Cross in October 1995. We are asked if we could estimate the compensation to the landlord would likely be to extend the lease by a further 90 years. Identical residencies in West Cross with an extended lease were valued around £285,000. The average amount of ground rent was £45 invoiced annually. The lease came to a finish on 19 May 2097. Considering the 71 years outstanding we approximated the compensation to the freeholder for the lease extension to be within £12,400 and £14,200 not including fees.
Last Christmas we were called by Ms E Alexander , who bought a newly refurbished apartment in West Cross in January 2006. The question was if we could shed any light on how much (roughly) compensation to the landlord could be for a 90 year extension to my lease. Identical properties in West Cross with 100 year plus lease were in the region of £230,800. The mid-range amount of ground rent was £60 invoiced yearly. The lease finished on 17 May 2086. Given that there were 60 years outstanding we calculated the premium to the landlord to extend the lease to be between £24,700 and £28,600 not including expenses.