Chances are that where you own a flat in Wirksworth you actually own a long leasehold interest over your property
Leasehold residencies in Wirksworth with in excess of one hundred years outstanding 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 upside in buying the reversionary interest unless savings on ground rent and estate charges merit it.
| Lender | Requirement |
|---|---|
| Bank of Scotland | Minimum 70 years from the date of the mortgage. |
| Birmingham Midshires | Minimum 70 years from the date of the mortgage. |
| 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. |
| 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 |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
Using our service gives you increased control over the value of your Wirksworth leasehold, as your property will be more valuable and marketable in relation to the lease length should you decide to sell. The conveyancers that we work with are well versed in the legislation handling many hundreds of lease extensions or freehold purchase transactions.
Off the back of lengthy correspondence with the landlord of her first floor flat in Wirksworth, Jennifer started the lease extension process just as the lease was approaching the all-important 80-year threshold. The transaction completed in November 2008. The landlord’s charges were kept to an absolute minimum.
Mr and Mrs. U Edwards bought a garden apartment in Wirksworth in April 1998. We are asked if we could estimate the premium would be to prolong the lease by 90 years. Identical premises in Wirksworth with an extended lease were in the region of £246,800. The mid-range ground rent payable was £60 invoiced yearly. The lease concluded on 16 January 2076. Having 50 years remaining we estimated the compensation to the landlord to extend the lease to be within £44,700 and £51,600 not including fees.
Last Autumn we were contacted by Dr S Torres , who acquired a ground floor flat in Wirksworth in May 2010. The dilemma was if we could estimate the price would be for a 90 year extension to my lease. Identical properties in Wirksworth with a long lease were valued around £208,200. The average ground rent payable was £65 invoiced annually. The lease terminated in 2087. Having 61 years remaining we estimated the premium to the freeholder for the lease extension to be within £19,000 and £22,000 not including professional charges.