Chances are that where you own a flat in Wetherby you actually own a long leasehold interest over your property
Leasehold residencies in Wetherby with more than one hundred years outstanding on the lease are often regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your premises. In such situations there is often little upside in purchasing the reversionary interest unless savings on ground rent and maintenance charges warrant it.
| Lender | Requirement |
|---|---|
| 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. |
| Halifax | Minimum 70 years from the date of the mortgage. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
| Lloyds TSB Scotland | Minimum 70 years from the date 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. |
Lease extensions in Wetherby can be a difficult process. We recommend you procure 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 dealing with Wetherby lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Following lengthy discussions with the freeholder of her one bedroom apartment in Wetherby, Stephanie initiated the lease extension process as the eighty year mark was fast approaching. The lease extension completed in June 2013. The landlord’s fees were restricted to less than 700 GBP.
Mrs L Peterson owned a studio flat in Wetherby in June 2009. The question was if we could shed any light on how much (approximately) compensation to the landlord would be for a ninety year lease extension. Comparative residencies in Wetherby with an extended lease were valued around £265,000. The mid-range ground rent payable was £50 billed every twelve months. The lease elapsed in 2100. Considering the 74 years unexpired we calculated the premium to the freeholder for the lease extension to be between £9,500 and £11,000 not including professional charges.
Mr and Mrs. J Thompson purchased a one bedroom apartment in Wetherby in February 2010. We are asked if we could shed any light on how much (roughly) premium would be to prolong the lease by an additional years. Identical residencies in Wetherby with a long lease were valued about £166,400. The average amount of ground rent was £60 invoiced monthly. The lease terminated in 2080. Given that there were 54 years unexpired we approximated the compensation to the freeholder to extend the lease to be within £32,300 and £37,400 exclusive of legals.