When it comes to residential leasehold property in Wincanton, you are in fact renting it for a certain amount of time. In recent years flat leases typically tend to be for 99 years or 125. Even though this may appear like a lengthy period of time, you should think about extending the lease sooner as opposed to later. Accepted thinking is that the shorter the lease is the cost of extending the lease increases markedly particularly when there are fewer than eighty years remaining. Anyone in Wincanton with a lease drawing near to 81 years unexpired should seriously consider extending it sooner rather than later. Once a lease has below 80 years left, under the relevant statute the landlord is entitled to calculate and charge a greater premium, based on a technical calculation, known as “marriage value” which is payable.
It is generally accepted that a property with more than one hundred years remaining is worth roughly the same as a freehold. Where an further 90 years added to any lease with more than 45 years remaining, the property will be worth the same as a freehold for decades to come.
| Lender | Requirement |
|---|---|
| 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. |
| 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. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
| 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. |
Regardless of whether you are a tenant or a landlord in Wincanton,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 in-depth market knowledge and the close ties they enjoy with Wincanton valuers.
In 2014 Austin, started to get near to the eighty-year mark with the lease on his ground floor apartment in Wincanton. In buying his home twenty years previously, the lease term was of no bearing. by good luck, he realised he needed to take steps soon on Extending the lease. Austin extended the lease at the eleventh hour last March. Austin and the landlord who owned the flat above eventually agreed on the final figure of £5,500 . If the lease had slid below 80 years, the figure would have gone up by at least £1,125.
Mr Nathaniel David completed a basement apartment in Wincanton in July 2011. The dilemma was if we could estimate the premium would likely be to extend the lease by a further 90 years. Identical residencies in Wincanton with 100 year plus lease were in the region of £267,600. The mid-range ground rent payable was £65 invoiced annually. The lease expired on 6 January 2093. Taking into account 67 years unexpired we approximated the compensation to the freeholder for the lease extension to be within £14,300 and £16,400 not including costs.
Last Winter we were phoned by Mr and Mrs. A Edwards , who took over the lease of a first floor flat in Wincanton in July 1998. We are asked if we could estimate the price would likely be for a 90 year lease extension. Identical homes in Wincanton with 100 year plus lease were valued about £206,200. The average amount of ground rent was £60 billed yearly. The lease ended in 2082. Having 56 years unexpired we approximated the compensation to the freeholder for the lease extension to be between £31,400 and £36,200 exclusive of expenses.