The closer a residential lease in Westgate on Sea gets to zero years unexpired, the more it reduces the value of the property. If the lease has, more than 99 years to run then this decrease may be fractional nevertheless there will become a point in time when a lease has less than 80 years left as part of the premium you will incur is what is termed as a marriage value. This could increase markedly the cost. It is the main rational as to why you should consider extending without delay. Most flat owners in Westgate on Sea will meet the qualifying criteria; that being said a conveyancing solicitor should be able to advise if you qualify to extend your lease. In certain situations you may not qualify, the most common reason being that you have not been the owner of the property for two years.
It is conventional wisdom that a property with more than one hundred years remaining is worth roughly the same as a freehold. Where an additional 90 years added to any lease with more than 30 years left, the premises will be worth the same as 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. |
| 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. |
| TSB | Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption. |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
Regardless of whether you are a tenant or a freeholder in Westgate on Sea,the lease extension experts that we work with will always be willing to discuss any residential leasehold matters and offer you the benefit of their experience and the close ties they enjoy with Westgate on Sea valuers.
After unsuccessful correspondence with the landlord of her one bedroom flat in Westgate on Sea, Sian started the lease extension process just as her lease was approaching the critical 80-year mark. The legal work was concluded in September 2015. The freeholder’s charges were kept to an absolute minimum.
Dr L Brown bought a studio flat in Westgate on Sea in July 1995. We are asked if we could approximate the premium would likely be for a 90 year extension to my lease. Comparative homes in Westgate on Sea with a long lease were in the region of £193,400. The average ground rent payable was £65 collected every twelve months. The lease finished on 5 January 2084. Having 59 years remaining we estimated the compensation to the landlord for the lease extension to be within £21,900 and £25,200 exclusive of legals.
Mr V Nguyen owned a one bedroom flat in Westgate on Sea in July 1995. The dilemma was if we could approximate the price would likely be to extend the lease by an additional years. Identical homes in Westgate on Sea with a long lease were valued about £255,000. The average amount of ground rent was £50 collected every twelve months. The lease finished on 18 May 2095. Having 70 years as a residual term we estimated the premium to the freeholder for the lease extension to be between £10,500 and £12,000 exclusive of legals.