With a residential leasehold property in Farnham Royal, you effectively rent it for a certain amount of time. Modern flat leases typically tend to be for 99 years or 125. Even though this may appear like a lengthy period of time, you may consider extending the lease sooner rather than later. The general rule is that the shorter the lease is the cost of extending the lease increases markedly particularly once there are less than 80 years remaining. Residents in Farnham Royal with a lease drawing near to 81 years remaining should seriously consider extending it without delay. Once a lease has fewer than 80 years remaining, under the current legislation the freeholder can calculate and levy a greater premium, assessed on a technical computation, strangely termed as “marriage value” which is due.
Leasehold premises in Farnham Royal with over 100 years unexpired on the lease are often referred to as ‘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 estate charges justify it.
| Lender | Requirement |
|---|---|
| Chelsea Building Society | |
| Halifax | |
| National Westminster Bank | |
| Santander | |
| TSB |
Irrespective of whether you are a tenant or a landlord in Farnham Royal,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 Farnham Royal valuers.
Last Autumn Oscar, came perilously near to the 80-year mark with the lease on his first floor apartment in Farnham Royal. Having purchased his property two decades ago, the length of the lease was of no relevance. by good luck, it dawned on him that he needed to take action soon on Extending the lease. Oscar was able to extend his lease at the eleventh hour in May. Oscar and the landlord who owned the flat above subsequently settled on sum of £5,500 . If the lease had descended below 80 years, the figure would have gone up by at least £925.
In 2009 we were approached by Dr N Stewart who, having completed a garden flat in Farnham Royal in March 2006. The question was if we could approximate the premium would likely be to extend the lease by a further 90 years. Comparative residencies in Farnham Royal with an extended lease were valued around £176,200. The mid-range ground rent payable was £65 collected annually. The lease terminated on 28 March 2082. Given that there were 56 years left we approximated the premium to the landlord for the lease extension to be within £29,500 and £34,000 exclusive of costs.
Mrs Isobel López completed a studio flat in Farnham Royal in April 2011. We are asked if we could estimate the price could be to extend the lease by ninety years. Comparative properties in Farnham Royal with a long lease were valued about £242,600. The mid-range ground rent payable was £45 collected annually. The lease concluded in 2093. Considering the 67 years as a residual term we estimated the compensation to the landlord to extend the lease to be within £11,400 and £13,200 exclusive of costs.