Worksop leases on residential deteriorating in value. Where your lease has about ninety years remaining, you should start thinking about a lease extension. An important point to note is that it is financially advisable for your lease extension to be in place before the term of the existing lease falls lower than eighty years - otherwise a higher amount will be due. Flat owners in Worksop will usually qualify for a lease extension; however a solicitor should be able confirm your eligibility. In certain cases you may not qualify. There are also strict timetables and procedures to comply with once the process is triggered so it’s best to be guided by a conveyancer during the process.
Leasehold premises in Worksop with in excess of 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 property. In such circumstances there is often little to be gained by buying the freehold unless savings on ground rent and maintenance 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. |
| Bank of Scotland | Minimum 70 years from the date of the mortgage. |
| Barnsley Building Society | 60 years from the date of the mortgage application subject to 35 years remaining at the end of the mortgage term. |
| 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. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
Lease extensions in Worksop can be a difficult process. We recommend you procure guidance from a lawyer and surveyor with experience in this area.
We provide you with an expert from a selection of lease extension solicitors, which ensures a targeted and efficient service as you have a dedicated port of call with an individual lawyer. Our lease extension solicitors have in-depth market knowledge dealing with Worksop lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Last year William, started to get near to the eighty-year threshold with the lease on his first floor apartment in Worksop. In buying his home 19 years previously, the length of the lease was of no bearing. Luckily, it dawned on him that he needed to take action soon on a lease extension. William was able to extend his lease at the eleventh hour last May. William and the landlord who owned the flat above eventually settled on a premium of £5,000 . If the lease had slid lower than 80 years, the figure would have escalated by a minimum £900.
Last Christmas we were approach by Dr Sebastian Ali , who completed a one bedroom flat in Worksop in September 2005. The question was if we could approximate the premium could be to extend the lease by a further 90 years. Comparative flats in Worksop with a long lease were in the region of £246,800. The mid-range ground rent payable was £60 billed every twelve months. The lease terminated on 10 May 2075. Taking into account 50 years outstanding we calculated the compensation to the landlord to extend the lease to be within £44,700 and £51,600 plus costs.
Last November we were e-mailed by Dr Tyler Rose , who acquired a purpose-built flat in Worksop in March 2009. We are asked if we could approximate the compensation to the landlord could be to extend the lease by ninety years. Similar premises in Worksop with an extended lease were worth £203,200. The average ground rent payable was £65 billed every twelve months. The lease elapsed on 26 August 2086. Given that there were 61 years as a residual term we calculated the premium to the freeholder to extend the lease to be within £20,000 and £23,000 plus fees.