Owning a apartment usually means owning a lease of the property, which has a finite term of years. your lease will ordinarily be granted for a fixed period of time , usually 99 or 125 years, although we have seen longer and shorter terms in Wylam. Clearly, the length of lease left reduces as time goes by. This may pass by relatively unnoticed when the residence has to be disposed of or re-mortgaged. The fewer the years remaining the less it is worth and the more it will cost to procure a lease extension. Qualifying leaseholders in Wylam have the right to extend the lease for a further 90 years in accordance with statute. You should give careful consideration before putting off your Wylam lease extension. Holding off the cost now only increases the price you will eventually have to pay to extend your lease
Leasehold premises in Wylam with over one hundred years unexpired on the lease are often 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 to be gained by purchasing the reversionary interest unless savings on ground rent and maintenance charges warrant it.
| Lender | Requirement |
|---|---|
| Birmingham Midshires | Minimum 70 years from the date of the mortgage. |
| Leeds Building Society | 85 years remaining from the start 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 |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
Regardless of whether you are a tenant or a freeholder in Wylam,the lease extension experts that we work with will always be prepared to discuss any residential leasehold matters and offer you the benefit of their experience and the close ties they enjoy with Wylam valuers.
Alfie owned a high value flat in Wylam being sold with a lease of fraction over sixty years left. Alfie informally approached his landlord being a well known London-based freehold company for a lease extension. The freeholder indicated a willingness to grant an extension taking the lease to 125 years on the basis of a new rent initially set at £200 per annum and increase every twenty five years thereafter. No ground rent would be due on a lease extension were Alfie to exercise his statutory right. Alfie procured expert legal guidance and secured an acceptable resolution without going to tribunal and readily saleable.
Last month we were contacted by Mr and Mrs. Y Bailey , who acquired a first floor apartment in Wylam in April 2003. We are asked if we could approximate the compensation to the landlord could be for a ninety year extension to my lease. Identical properties in Wylam with 100 year plus lease were in the region of £181,600. The mid-range ground rent payable was £55 invoiced yearly. The lease concluded in 2077. Considering the 52 years left we estimated the premium to the landlord for the lease extension to be within £30,400 and £35,200 not including costs.
Last Christmas we were contacted by Mr and Mrs. O Rose , who bought a first floor flat in Wylam in April 2000. We are asked if we could approximate the compensation to the landlord would likely be for a 90 year extension to my lease. Identical residencies in Wylam with 100 year plus lease were valued around £290,000. The average ground rent payable was £45 invoiced annually. The lease end date was on 8 September 2097. Having 72 years outstanding we estimated the compensation to the landlord to extend the lease to be within £11,400 and £13,200 not including fees.