The only way is down when it comes to Whitehaven lease terms. Whitehaven leaseholds that have a residual term fewer than eighty years will reduce in value even faster, and the cost of extending your lease will go up.
It is generally accepted that a residential leasehold with in excess of 100 years remaining is worth roughly the same as a freehold. Where an further ninety years added to all but the shortest lease, the property will be worth the same as a freehold for decades to come.
| Lender | Requirement |
|---|---|
| Birmingham Midshires | 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. |
| National Westminster Bank | Mortgage term plus 30 years. |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
| Yorkshire Building Society | 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. |
Irrespective of whether you are a tenant or a freeholder in Whitehaven,the lease extension solicitors 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 Whitehaven valuers.
Ben owned a 2 bedroom apartment in Whitehaven on the market with a lease of fraction over 61 years unexpired. Ben informally contacted his freeholder being a well known Manchester-based freehold company for a lease extension. The landlord was prepared to grant an extension on non-statutory terms taking the lease to 125 years subject to a new rent initially set at £150 per annum and doubled every twenty five years thereafter. No ground rent would be due on a lease extension were Ben to exercise his statutory right. Ben procured expert legal guidance and secured satisfactory deal without going to tribunal and ending up with a market value flat.
Last Christmas we were e-mailed by Mrs A Carter , who completed a studio flat in Whitehaven in October 2004. The dilemma was if we could estimate the premium would be for a ninety year extension to my lease. Similar premises in Whitehaven with 100 year plus lease were valued around £216,000. The average amount of ground rent was £60 collected per annum. The lease expired in 2083. Taking into account 58 years left we calculated the compensation to the landlord to extend the lease to be between £28,500 and £33,000 exclusive of expenses.
In 2012 we were called by Mr Teddy Michel who, having purchased a purpose-built apartment in Whitehaven in June 2007. We are asked if we could estimate the premium would likely be for a 90 year extension to my lease. Similar residencies in Whitehaven with 100 year plus lease were in the region of £200,000. The mid-range ground rent payable was £50 invoiced every twelve months. The lease elapsed in 2103. Given that there were 78 years remaining we estimated the premium to the landlord to extend the lease to be between £8,600 and £9,800 not including costs.