As the length of the unexpired term of a Windsor residential lease lessens so does its value and therefore the value of your property. If the lease has, in excess of 99 years remaining then this decrease may be negligible that being said there will become a stage when a lease has fewer than eighty years remaining as part of the premium you will incur is what is termed as a marriage value. This could increase sharply the cost. It is the primary logic behind why you should extend the lease without delay. Most flat owners in Windsor will qualify for this right; however a lawyer should be able to advise whether you qualify for a lease extension. In limited situations you may not qualify, the most frequent reason being that you have not been the owner of the property for two years.
Leasehold residencies in Windsor with more than 100 years unexpired on the lease are often regarded as a ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your home. In such circumstances there is often little to be gained by purchasing the freehold unless savings on ground rent and service charges warrant it.
| Lender | Requirement |
|---|---|
| Accord Mortgages | 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. |
| Birmingham Midshires | Minimum 70 years from the date of the mortgage. |
| Coventry Building Society | 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. |
| Lloyds TSB Scotland | Minimum 70 years from the date of the mortgage. |
| National Westminster Bank | Mortgage term plus 30 years. |
Irrespective of whether you are a tenant or a freeholder in Windsor,the lease extension experts 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 Windsor valuers.
Caleb owned a 2 bedroom apartment in Windsor being marketed with a lease of just over 61 years unexpired. Caleb on an informal basis contacted his landlord a well known local-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 to start with set at £100 per annum and doubled every 25 years thereafter. No ground rent would be payable on a lease extension were Caleb to invoke his statutory right. Caleb procured expert advice and was able to make a more informed decision and handle with the matter and readily saleable.
In 2012 we were approached by Mr and Mrs. U Mercier who, having purchased a studio flat in Windsor in August 1996. The dilemma was if we could estimate the compensation to the landlord could be for a 90 year lease extension. Similar residencies in Windsor with an extended lease were in the region of £168,800. The mid-range amount of ground rent was £60 invoiced quarterly. The lease terminated in 2080. Having 55 years outstanding we calculated the compensation to the freeholder to extend the lease to be between £31,400 and £36,200 plus professional charges.
Mr M Gunderson took over the lease of a studio flat in Windsor in November 1998. We are asked if we could estimate the price could be for a 90 year extension to my lease. Identical premises in Windsor with a long lease were in the region of £235,200. The mid-range amount of ground rent was £45 invoiced per annum. The lease lapsed in 2091. Considering the 66 years as a residual term we estimated the compensation to the landlord for the lease extension to be between £12,400 and £14,200 not including costs.