Wraysbury leases on residential properties are gradually losing value. Where your lease has approximately 90 years unexpired, you should start thinking about a lease extension. 80 years is a significant number: when the unexpired term of a lease drops below this level then you begin paying an additional element called marriage value. Leasehold owners in Wraysbury will mostly be legally entitled to a lease extension; however It would be wise to check with a lawyer to check your eligibility. In some situations you may not qualify. There are prescribed deadlines and steps to follow once the process has commenced so it’s sensible to be guided by a conveyancer during the process.
It is generally considered that a residential leasehold with in excess of one hundred years unexpired lease term is worth approximately the equivalent as a freehold. Where an additional ninety years added to any lease with more than 30 years unexpired, the property will be worth the same as a freehold for many years ahead.
| 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. |
| 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. |
| 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. |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
Irrespective of whether you are a tenant or a landlord in Wraysbury,the lease extension lawyers that we work with will always be happy to discuss any residential leasehold matters and offer you the benefit of their experience and the close ties they enjoy with Wraysbury valuers.
Off the back of lengthy negotiations with the landlord of her two bedroom apartment in Wraysbury, Hannah commenced the lease extension process as the 80 year mark was quickly approaching. The lease extension was finalised in November 2010. The landlord’s fees were restricted to slightly above 550 pounds.
In 2009 we were phoned by Mr and Mrs. U Martin who, having acquired a one bedroom flat in Wraysbury in January 2001. We are asked if we could approximate the premium would likely be for a ninety year lease extension. Similar premises in Wraysbury with an extended lease were valued around £285,000. The average amount of ground rent was £55 billed monthly. The lease expired in 2106. Taking into account 80 years unexpired we calculated the compensation to the freeholder for the lease extension to be between £12,400 and £14,200 exclusive of professional charges.
In 2010 we were e-mailed by Mr and Mrs. G Nguyen who, having owned a basement apartment in Wraysbury in October 2002. We are asked if we could approximate the price would likely be for a 90 year extension to my lease. Similar homes in Wraysbury with 100 year plus lease were valued about £200,800. The average amount of ground rent was £65 billed every twelve months. The lease came to a finish in 2086. Given that there were 60 years as a residual term we estimated the premium to the landlord to extend the lease to be between £20,900 and £24,200 plus costs.