The market value of a leasehold property in Whitland depends on how many years the lease has left to run. If it is near to or fewer than eighty years you should expect difficulties on re-sale, so it is recommended to arrange for a lease extension before purchasing. It is preferable to commence the lease extension process when a lease still has 82 years remaining so that formalities can be finalised in advance of the 80 year cut off point. Leasehold Reform legislation enables Whitland qualifying lessees to a 90 year extension added to their unexpired lease term (ie if your lease has 50 years left the statutory lease extension will provide a new term of 140 years). The reason of the valuation is to arrive at an opinion of the amount payable by the lessee to the freeholder for the acquisition of the lease extension.
It is generally considered that a property with in excess of one hundred years remaining is worth roughly the equivalent as a freehold. Where an additional 90 years added to all but the shortest lease, the residence will be worth the same as a freehold for decades to come.
|Bank of Scotland|| Minimum 70 years from the date of the mortgage.|
|Barnsley Building Society||60 years from the date of the mortgage application subject to 35 years remaining at the end of the mortgage term.|
|Birmingham Midshires|| 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.
|Virgin|| 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
Lease extensions in Whitland can be a difficult process. We recommend you get professional help from a lawyer 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 a wealth of experience procuring Whitland lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
After lengthy negotiations with the freeholder of her leasehold flat in Whitland, Jessica commenced the lease extension process just as her lease was coming close to the critical 80-year threshold. The transaction completed in October 2007. The freeholder’s charges were negotiated to below four hundred GBP.
In 2014 we were phoned by Dr F Norbert who, having purchased a ground floor apartment in Whitland in July 2001. The dilemma was if we could estimate the price would be for a ninety year extension to my lease. Comparable premises in Whitland with a long lease were valued about £205,000. The mid-range amount of ground rent was £50 collected yearly. The lease concluded on 8 August 2100. Taking into account 79 years left we estimated the compensation to the landlord to extend the lease to be within £8,600 and £9,800 plus expenses.
Mr and Mrs. H Davies completed a studio apartment in Whitland in August 1996. We are asked if we could approximate the price could be for a 90 year lease extension. Comparative properties in Whitland with 100 year plus lease were worth £275,000. The average amount of ground rent was £65 collected monthly. The lease lapsed in 2089. Given that there were 68 years left we calculated the compensation to the landlord to extend the lease to be between £12,400 and £14,200 plus professional charges.