With a residential leasehold property in Wolston, you are actually buying a right to live in a property for a prescribed time frame. In recent years flat leases typically tend to be for 99 years or 125. Many leasehold owners become complacent as this seems like a lengthy period of time, you may think about a lease extension sooner as opposed to later. Accepted thinking is that the shorter the number of years is the cost of extending the lease gets disproportionately more expensive particularly when there are fewer than eighty years left. Leasehold owners in Wolston with a lease nearing 81 years remaining should seriously consider extending it as soon as possible. Once a lease has fewer than 80 years remaining, under the current legislation the landlord is entitled to calculate and demand a larger premium, based on a technical multiplication, known as “marriage value” which is due.
Leasehold premises in Wolston with over one hundred years remaining on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your home. In such situations there is often little upside in purchasing the reversionary interest unless savings on ground rent and maintenance charges justify 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. |
| 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. |
| 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. |
| 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 |
| 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. |
Retaining our service gives you increased control over the value of your Wolston leasehold, as your property will be more valuable and saleable in relation to the lease length should you decide to sell. The conveyancers that we work with have a in-depth market knowledge handling many hundreds of lease extensions or freehold purchase transactions.
Trailing protracted negotiations with the landlord of her one bedroom flat in Wolston, Caitlin initiated the lease extension process just as her lease was coming close to the crucial eighty-year deadline. The transaction completed in June 2009. The landlord’s costs were restricted to under 650 pounds.
In 2010 we were e-mailed by Mrs E Gray who, having owned a one bedroom flat in Wolston in April 2010. We are asked if we could approximate the price would likely be for a ninety year extension to my lease. Identical properties in Wolston with a long lease were in the region of £285,000. The mid-range ground rent payable was £55 collected yearly. The lease expired on 3 March 2105. Considering the 79 years as a residual term we estimated the compensation to the landlord for the lease extension to be within £13,300 and £15,400 not including costs.
In 2014 we were contacted by Ms Sian Petit who, having bought a basement apartment in Wolston in September 1997. We are asked if we could estimate the price would be to prolong the lease by an additional years. Identical homes in Wolston with 100 year plus lease were worth £198,400. The average ground rent payable was £65 billed every twelve months. The lease concluded in 2085. Given that there were 59 years unexpired we approximated the premium to the freeholder to extend the lease to be within £21,900 and £25,200 plus expenses.