Unfortunately that a Easthampstead residential lease is a wasting asset. The lease value reduces in proportion to its lease length. The extent of this is not fully appreciated in the first few years due to the reduction being disguised by increases in the Easthampstead property prices.Where your lease has approximately 90 years left, you should start thinking about a lease extension. An important point to note is that it is desirable for lease extension to take place before the term of the existing lease slips lower than eighty years - otherwise a higher premium will be due. Most flat owners in Easthampstead will be able to extend under the legislation; however a lawyer will be able to confirm whether you qualify for an extension. In some situations you may not be entitled. There are also strict deadlines and procedures to follow once the process is instigated and you will need to be guided by your lawyer throughout the process.
Leasehold residencies in Easthampstead with more than 100 years unexpired on the lease are sometimes referred to as ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your home. In such situations there is often little to be gained by purchasing the freehold unless savings on ground rent and service charges warrant it.
| Lender | Requirement |
|---|---|
| Bank of Scotland | |
| Barnsley Building Society | |
| Coventry Building Society | |
| Halifax | |
| Leeds Building Society |
Lease extensions in Easthampstead can be a difficult process. We recommend you secure guidance from a conveyancer 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 Easthampstead lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Subsequent to protracted correspondence with the landlord of her one bedroom flat in Easthampstead, Chloe initiated the lease extension process just as her lease was nearing the critical 80-year deadline. The lease extension was finalised in February 2006. The landlord’s costs were kept to an absolute minimum.
In 2014 we were phoned by Mr and Mrs. B Wright who, having took over the lease of a studio flat in Easthampstead in May 2012. We are asked if we could shed any light on how much (roughly) premium could be to prolong the lease by an additional years. Identical premises in Easthampstead with 100 year plus lease were valued around £223,400. The mid-range ground rent payable was £60 collected yearly. The lease elapsed in 2085. Taking into account 59 years outstanding we estimated the compensation to the freeholder for the lease extension to be between £27,600 and £31,800 plus fees.
Last August we were contacted by Mr and Mrs. S Thomas , who acquired a one bedroom apartment in Easthampstead in August 1996. The dilemma was if we could approximate the compensation to the landlord would be to extend the lease by a further 90 years. Identical properties in Easthampstead with an extended lease were worth £205,000. The average amount of ground rent was £50 collected per annum. The lease expired in 2105. Given that there were 79 years as a residual term we approximated the premium to the landlord for the lease extension to be between £8,600 and £9,800 exclusive of costs.