The value of Wymondham leasehold residential property falls as the lease term becomes shorter and this will have an impact on its saleability. The expense of extending the lease can escalate significantly once the unexpired lease term is below than eighty years
It is generally accepted that a residential leasehold with more than 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 45 years left, the property will be worth the same as a freehold for many years in the future.
| Lender | Requirement |
|---|---|
| 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 30 years plus the term of the mortgage at the outset of the mortgage. |
| Santander | If the property is leasehold, the remaining unexpired lease term at the end of the new mortgage term must be at least 50 years where any part of the mortgage is on Interest Only and 30 years if all loan parts are on Capital Repayment and Interest. You must report the unexpired lease term to us and await our instructions if:
|
| 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 |
| TSB | Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption. |
Lease extensions in Wymondham can be a difficult process. We recommend you obtain professional help from a conveyancing solicitor and surveyor well versed in the legislation and lease extension process.
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 Wymondham 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 Dylan, came perilously close to the eighty-year threshold with the lease on his one bedroom apartment in Wymondham. Having purchased his property two decades ago, the length of the lease was of little interest. Luckily, he became aware that he would imminently be paying an inflated amount for Extending the lease. Dylan was able to extend his lease just ahead of time last April. Dylan and the landlord subsequently agreed on sum of £5,000 . If he failed to meet the deadline, the sum would have increased by a minimum £1,025.
Dr U Brown bought a studio flat in Wymondham in July 2012. The dilemma was if we could shed any light on how much (roughly) compensation to the landlord would be for a ninety year extension to my lease. Comparative flats in Wymondham with a long lease were valued about £290,000. The mid-range ground rent payable was £45 invoiced annually. The lease concluded on 13 October 2099. Considering the 73 years as a residual term we approximated the compensation to the landlord for the lease extension to be within £9,500 and £11,000 plus professional charges.
Mrs Isabella Lefèvre took over the lease of a newly refurbished flat in Wymondham in July 2000. We are asked if we could estimate the premium could be for a 90 year lease extension. Comparative homes in Wymondham with 100 year plus lease were in the region of £240,600. The mid-range amount of ground rent was £60 invoiced quarterly. The lease terminated on 21 August 2088. Considering the 62 years outstanding we calculated the premium to the freeholder to extend the lease to be within £21,900 and £25,200 plus legals.