Whitnash leases on residential properties are gradually losing value. The shorter the remaining lease term becomes, the less it is worth – and accordingly any extension of your lease becomes more expensive. Legislation has been in place for sometime now which entitles qualifying Whitnash residential leaseholders to extend the terms of long leases. If you are a leasehold owner in Whitnash you must see if your lease has between seventy and ninety years left. In particular once the remaining lease term slips under eighty years, the amount payable for any lease extension increases dramatically as an element of the premium you will incur is what is known as a marriage value
It is generally considered that a property with more than 100 years remaining is worth roughly the same as a freehold. Where an additional 90 years added to any lease with more than 30 years unexpired, the residence will be worth the same as a freehold for many years ahead.
| Lender | Requirement |
|---|---|
| Bank of Scotland | Minimum 70 years from the date of the mortgage. |
| Chelsea 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. |
| Lloyds TSB Scotland | Minimum 70 years from the date of the mortgage. |
| National Westminster Bank | Mortgage term plus 30 years. For Shared Ownership, the remaining term of the lease must be at least 75 years plus the term of the mortgage at the outset of the mortgage. |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
Lease extensions in Whitnash can be a difficult process. We recommend you secure professional help from a lawyer and valuer with experience in lease extensions.
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 Whitnash lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Adam owned a studio apartment in Whitnash on the market with a lease of a little over 72 years left. Adam informally approached his freeholder a well known Bristol-based freehold company and enquired on a premium to extend the lease. The freeholder was keen to grant an extension on non-statutory terms taking the lease to 125 years on the basis of a rise in the rent to £100 yearly. No ground rent would be payable on a lease extension were Adam to exercise his statutory right. Adam obtained expert legal guidance and was able to make an informed judgement and deal with the matter and sell the flat.
Mr and Mrs. K Johnson completed a studio flat in Whitnash in May 2011. The question was if we could shed any light on how much (approximately) price would be to extend the lease by ninety years. Similar flats in Whitnash with 100 year plus lease were worth £181,600. The mid-range amount of ground rent was £55 collected yearly. The lease concluded in 2078. Taking into account 52 years outstanding we estimated the compensation to the freeholder for the lease extension to be within £30,400 and £35,200 not including expenses.
Last Summer we were e-mailed by Mr V Smith , who took over the lease of a garden apartment in Whitnash in November 2011. The dilemma was if we could shed any light on how much (roughly) premium would likely be to prolong the lease by an additional years. Identical properties in Whitnash with a long lease were worth £290,000. The mid-range amount of ground rent was £45 collected monthly. The lease termination date was on 11 October 2098. Given that there were 72 years outstanding we calculated the compensation to the landlord to extend the lease to be within £11,400 and £13,200 not including costs.