The nearer a domestic lease in Willenhall gets to zero years unexpired, the more it reduces the value of the property. If the residual term has, in excess of 125 years to run then this decrease may be negligible that being said there will become a point in time when a lease has fewer than 80 years unexpired as part of the premium you will incur is what is termed as a marriage value. This could be significant. It is the primary logic behind why you should consider extending sooner rather than later. The majority of flat owners in Willenhall will meet the qualifying criteria; however a conveyancing solicitor can advise whether you qualify to extend your lease. In certain situations you may not qualify, the most frequent reason being that you have owned the property for less than two years.
Leasehold properties in Willenhall with over 100 years outstanding on the lease are often referred to as ‘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 freehold unless savings on ground rent and estate charges warrant it.
| Lender | Requirement |
|---|---|
| Barnsley Building Society | 60 years from the date of the mortgage application subject to 35 years remaining at the end of the mortgage term. |
| Halifax | Minimum 70 years from the date of the mortgage. |
| Skipton Building Society | 85 years from the date of completion of the mortgage For Buy to Let cases: - lettings must not breach any of the lessee’s covenants; and - consent of the lessor to lettings must be obtained if necessary |
| 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. |
Engaging our service gives you increased control over the value of your Willenhall leasehold, as your property will be more valuable and saleable in terms of lease length should you wish to sell. The conveyancing solicitors that we work with are well versed in the legislation handling many hundreds of lease extensions or freehold purchase transactions.
In 2014 Matthew, started to get close to the eighty-year threshold with the lease on his purpose- built flat in Willenhall. In buying his home 19 years previously, the length of the lease was of no importance. Luckily, he noticed he would imminently be paying an inflated amount for a lease extension. Matthew was able to extend his lease just under the wire last August. Matthew and the landlord eventually settled on sum of £5,500 . If he failed to meet the deadline, the figure would have become more costly by at least £1,075.
Last Spring we were called by Mr and Mrs. A García , who owned a garden apartment in Willenhall in November 2003. The question was if we could estimate the premium could be to extend the lease by a further 90 years. Identical homes in Willenhall with 100 year plus lease were in the region of £250,000. The mid-range amount of ground rent was £50 collected per annum. The lease terminated in 2094. Given that there were 69 years remaining we calculated the compensation to the landlord to extend the lease to be within £9,500 and £11,000 not including expenses.
Dr Samuel Wright acquired a basement apartment in Willenhall in September 2001. We are asked if we could approximate the price would likely be to prolong the lease by an additional years. Similar homes in Willenhall with an extended lease were in the region of £290,000. The average amount of ground rent was £60 collected yearly. The lease concluded in 2105. Having 80 years unexpired we estimated the premium to the freeholder for the lease extension to be between £13,300 and £15,400 plus expenses.