When it comes to long leasehold premises in Yeadon, you are in fact renting it for a certain period of time. In recent years flat leases typically tend to be for 99 years or 125. Many leasehold owners are unconcerned as this seems like a lengthy period of time, you may consider a lease extension sooner rather than later. The general rule is that the shorter the number of years is the cost of extending the lease increases markedly notably once there are less than 80 years left. Leasehold owners in Yeadon with a lease nearing 81 years unexpired should seriously think of extending it as soon as possible. When the lease term has below eighty years left, under the current statute the landlord is entitled to calculate and demand a greater amount, assessed on a technical computation, known as “marriage value” which is due.
It is conventional wisdom that a property with over 100 years unexpired lease term is worth approximately the equivalent as a freehold. Where an further ninety years added to any lease with more than 30 years left, the premises will be worth the same as a freehold for decades to come.
| Lender | Requirement |
|---|---|
| Bank of Scotland | Minimum 70 years from the date of the mortgage. |
| 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. |
| Halifax | Minimum 70 years from the date of the mortgage. |
| Lloyds TSB Scotland | Minimum 70 years from the date of the mortgage. |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
Using our service gives you enhanced control over the value of your Yeadon leasehold, as your property will be more valuable and saleable in respect of lease length should you wish to sell. The conveyancers that we work with are well versed in the legislation handling many hundreds of lease extensions or freehold purchase transactions.
Omar was the the leasehold owner of a studio apartment in Yeadon on the market with a lease of fraction over sixty years remaining. Omar on an informal basis spoke with his landlord a well known Manchester-based freehold company and enquired on a premium to extend the lease. The freeholder indicated a willingness to extend the lease to 125 years on the basis of a rise in the rent to £50 per annum. Ordinarily, ground rent would not be payable on a lease extension were Omar to exercise his statutory right. Omar procured expert legal guidance and secured an acceptable resolution without going to tribunal and ending up with a market value flat.
Ms H Mercier bought a one bedroom flat in Yeadon in October 2012. We are asked if we could estimate the compensation to the landlord would be for a 90 year lease extension. Similar properties in Yeadon with a long lease were worth £256,600. The mid-range ground rent payable was £60 billed yearly. The lease expiry date was on 3 July 2077. Having 52 years as a residual term we approximated the compensation to the freeholder for the lease extension to be between £39,000 and £45,000 plus costs.
Last November we were e-mailed by Mr and Mrs. V Richardson , who bought a ground floor flat in Yeadon in April 2006. The dilemma was if we could approximate the compensation to the landlord could be to prolong the lease by ninety years. Similar residencies in Yeadon with an extended lease were worth £218,000. The mid-range amount of ground rent was £45 collected every twelve months. The lease lapsed on 14 April 2088. Having 63 years remaining we estimated the premium to the landlord for the lease extension to be within £17,100 and £19,800 plus professional charges.