Stop! Your Lease Extension in Whimple Could Be FREE

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Many leaseholders in Whimple are unaware that their original lawyer had a duty to warn them about future mortgageability and saleability issues. Before you pay thousands to your freeholder, let us audit your purchase history. You might have a claim that pays for your lease extension in full

If you are facing a significant premium because your lease in Whimple has dropped toward the 80-year mark, your previous lawyer may be at fault. Our panel of experts specialise in recovering lease extension costs from negligent firms who failed to protect your investment.

Main reasons to start your Whimple lease extension

Top reasons for lease extension now:

A Whimple leasehold property depreciates with the years remaining on the lease.

The market value of a leasehold property in Whimple depends on how long the lease has left to run. If it is near to or less than 80 years you should expect difficulties on re-sale, so it is advisable to arrange for a lease extension before purchasing. It is preferable to start the lease extension process when the lease still has 82 years to run so that a lease extension can be concluded prior to the eighty year threshold. Current legislation enables Whimple qualifying lessees to obtain a new lease which will be for the current unexpired lease term plus a supplemental term of 90 years. The purpose of the valuation is to arrive at an opinion of the sum payable by the lessee to the freeholder for the purchase of the lease extension.

Whimple property with a lease extension has roughly the same value as a freehold

Leasehold premises in Whimple with more than one hundred years unexpired on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your home. In such situations there is often little upside in buying the freehold unless savings on ground rent and maintenance charges justify it.

Lenders may not grant a mortgage on a short lease

The propensity since over the last decade has been for mortgage companies to tighten lending criteria generally - this has extended to the types of security over which the mortgage is to be granted. This has resulted in the minimum number of years remaining under the lease required by mortgage companies has increased. Historically banks would lend on a lease with twenty years plus the term of the loan - typically fifty year leases but those requirements have been chipped away by the requirement for longer and longer leases - many use a minimum term of 75 years as a prerequisite.

Lender Requirement
Bank of Scotland Minimum 70 years from the date of the mortgage.
Barclays plc Leases with less than 70 years at the commencement of the mortgage are not acceptable.

Leases with fewer than 70 years should only be referred to the issuing office where the following scenario applies, as discretion may be applied subject to bank approval:

• Property is located in any of the following prestigious developments: Cadogan, Crown, Grosvenor, Howard de Walden, Portman or Wellcome Trust Estates in Central London AND
• The value of the property subject to the short remaining term is £500,000 or more AND
• The loan to value does not exceed 90% for purchases, 90% like for like re-mortgages, 80% for re-mortgages with any element of capital raising and 80% for existing Barclays mortgage borrowers applying for additional borrowing;
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.
National Westminster Bank Mortgage term plus 30 years.

For Shared Ownership, the remaining term of the lease must be at least 30 years plus the term of the mortgage at the outset 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.

Why use us for your lease extension in Whimple?

Irrespective of whether you are a tenant or a freeholder in Whimple,the lease extension lawyers 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 Whimple valuers.

Whimple Lease Extension Example Cases:

Chantelle, Whimple, Devon,

Subsequent to unsuccessful negotiations with the freeholder of her studio apartment in Whimple, Chantelle started the lease extension process as the 80 year mark was quickly coming. The transaction was concluded in August 2006. The freeholder’s fees were kept to an absolute minimum.

Whimple case:

Ms Amelia Scott took over the lease of a purpose-built flat in Whimple in April 2003. The question was if we could approximate the compensation to the landlord could be for a 90 year lease extension. Comparative flats in Whimple with 100 year plus lease were in the region of £290,000. The mid-range amount of ground rent was £45 billed quarterly. The lease elapsed on 13 July 2098. Taking into account 72 years unexpired we approximated the premium to the landlord for the lease extension to be within £11,400 and £13,200 not including legals.

Whimple case:

In 2011 we were contacted by Mr and Mrs. R Roux who, having was assigned a lease of a basement apartment in Whimple in June 2009. We are asked if we could estimate the compensation to the landlord could be to prolong the lease by an additional years. Comparable residencies in Whimple with 100 year plus lease were in the region of £233,200. The average amount of ground rent was £60 collected yearly. The lease expired on 20 March 2087. Given that there were 61 years unexpired we approximated the premium to the landlord for the lease extension to be within £22,800 and £26,400 plus professional charges.