When it comes to long leasehold premises in West Wittering, you are actually buying an entitlement to live in a property for a set period of time. In recent years flat leases typically tend to be for 99 years or 125. Even though this may appear like a long period of time, you should consider a lease extension sooner rather than later. Accepted thinking is that the shorter the number of years is the cost of extending the lease gets disproportionately greater notably once there are fewer than 80 years left. Leasehold owners in West Wittering with a lease nearing 81 years left should seriously consider extending it sooner than later. When the lease term has less than eighty years left, under the relevant legislation the landlord is entitled to calculate and charge a greater amount, assessed on a technical multiplication, strangely termed as “marriage value” which is due.
It is conventional wisdom that a property with more than one hundred years unexpired lease term is worth roughly the same as a freehold. Where an additional ninety years added to any lease with more than 30 years left, the residence will be worth the same as a freehold for many years in the future.
| Lender | Requirement |
|---|---|
| Bank of Scotland | Minimum 70 years from the date of the mortgage. |
| Godiva Mortgages | 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. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
| 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 |
Lease extensions in West Wittering can be a difficult process. We recommend you get guidance from a conveyancing solicitor and surveyor 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 dealing with West Wittering lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Eliot owned a studio flat in West Wittering being marketed with a lease of fraction over 61 years remaining. Eliot informally spoke with his landlord being a well known Manchester-based freehold company for a lease extension. The freeholder was keen to agree an extension on non-statutory terms taking the lease to 125 years subject to a new rent to start with set at £100 per annum and increase every twenty five years thereafter. Ordinarily, ground rent would not be payable on a lease extension were Eliot to exercise his statutory right. Eliot procured expert advice and secured an acceptable deal informally and readily saleable.
Mr and Mrs. V Evans was assigned a lease of a garden apartment in West Wittering in April 2012. The dilemma was if we could approximate the price could be for a ninety year extension to my lease. Comparable flats in West Wittering with an extended lease were valued about £200,000. The mid-range amount of ground rent was £50 billed quarterly. The lease lapsed on 7 May 2102. Having 77 years as a residual term we calculated the compensation to the landlord to extend the lease to be within £8,600 and £9,800 exclusive of expenses.
Ms Kirsty Bailey acquired a one bedroom apartment in West Wittering in August 2006. We are asked if we could shed any light on how much (roughly) price could be to prolong the lease by an additional years. Comparable properties in West Wittering with 100 year plus lease were in the region of £265,200. The average amount of ground rent was £65 billed quarterly. The lease concluded on 8 February 2091. Given that there were 66 years remaining we estimated the compensation to the landlord for the lease extension to be within £15,200 and £17,600 not including professional charges.