Yaxley leases on domestic deteriorating in value. Where your lease has approximately ninety years remaining, you should start considering the need for a lease extension. Eighty years is a significant number: when the remaining term of a lease dips below this level then you begin paying an additional element called marriage value. Flat owners in Yaxley will mostly be legally entitled to a lease extension; however a solicitor should be able check if you qualify. In some cases you may not qualify. There are prescribed timetables and steps to comply with once the process has commenced so it’s sensible to be guided by a conveyancer during the process.
It is conventional wisdom that a property with more than one hundred years remaining is worth roughly the equivalent as a freehold. Where an additional 90 years added to any lease with more than 30 years unexpired, the premises will be equivalent in value to a freehold for many years in the future.
| Lender | Requirement |
|---|---|
| Birmingham Midshires | 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. |
| Lloyds TSB Scotland | Minimum 70 years from the date of the mortgage. |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
Regardless of whether you are a tenant or a landlord in Yaxley,the lease extension lawyers 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 Yaxley valuers.
Off the back of unsuccessful discussions with the landlord of her first floor flat in Yaxley, Katie commenced the lease extension process just as the lease was approaching the crucial 80-year deadline. The legal work was finalised in October 2013. The freeholder’s charges were kept to an absolute minimum.
In 2009 we were phoned by Mr and Mrs. C Young who, having moved into a basement flat in Yaxley in January 2002. The question was if we could estimate the price would be for a 90 year extension to my lease. Similar residencies in Yaxley with an extended lease were in the region of £267,600. The mid-range amount of ground rent was £65 billed per annum. The lease end date was on 20 April 2092. Considering the 67 years as a residual term we calculated the premium to the landlord to extend the lease to be between £14,300 and £16,400 plus legals.
In 2014 we were contacted by Mrs Alexandra Ward who, having completed a first floor apartment in Yaxley in March 2009. We are asked if we could estimate the price would be to prolong the lease by 90 years. Comparative premises in Yaxley with an extended lease were in the region of £201,200. The mid-range ground rent payable was £55 collected monthly. The lease terminated in 2081. Having 56 years left we approximated the compensation to the landlord to extend the lease to be within £31,400 and £36,200 not including legals.