The nearer a residential lease in Flitwick gets to zero years unexpired, the more it reduces the value of the property. If the residual term has, beyond 100 years to run then this decrease may be of little impact however there will become a stage when a lease has fewer than 80 years unexpired as part of the premium you will incur is what is known as a marriage value. This could increase sharply the cost. It is the main logic behind why you should extend the lease sooner rather than later. Most flat owners in Flitwick will meet the qualifying criteria; that being said a lawyer can confirm if you are eligible to extend your lease. In limited situations you may not qualify, the most frequent reason being that you have not been the owner of the property for two years.
It is conventional wisdom that a property with in excess of one hundred years unexpired lease term is worth roughly the equivalent as a freehold. Where an further ninety years added to any lease with more than 30 years left, the property will be equivalent in value to a freehold for many years ahead.
| Lender | Requirement |
|---|---|
| Birmingham Midshires | Minimum 70 years from the date of the mortgage. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
| National Westminster Bank | Mortgage term plus 30 years. |
| 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 |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
Lease extensions in Flitwick can be a difficult process. We recommend you get guidance from a conveyancing solicitor and surveyor with experience in this area.
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 procuring Flitwick lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Theo owned a conversion apartment in Flitwick being sold with a lease of a little over sixty years remaining. Theo on an informal basis contacted 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 subject to a new rent to start with set at £150 per annum and doubled every twenty five years thereafter. No ground rent would be payable on a lease extension were Theo to invoke his statutory right. Theo obtained expert legal guidance and was able to make an informed decision and handle with the matter and sell the property.
In 2010 we were called by Mr and Mrs. F Scott who, having completed a newly refurbished flat in Flitwick in September 2007. We are asked if we could estimate the price would be for a 90 year extension to my lease. Comparative homes in Flitwick with 100 year plus lease were worth £275,000. The average amount of ground rent was £45 invoiced per annum. The lease expired in 2094. Considering the 69 years unexpired we calculated the premium to the freeholder to extend the lease to be within £12,400 and £14,200 not including professional charges.
Mr and Mrs. K Clark was assigned a lease of a one bedroom flat in Flitwick in October 2005. We are asked if we could estimate the premium would likely be for a 90 year lease extension. Comparable homes in Flitwick with 100 year plus lease were valued around £216,000. The average ground rent payable was £60 invoiced per annum. The lease concluded on 8 November 2083. Considering the 58 years unexpired we estimated the compensation to the freeholder to extend the lease to be between £28,500 and £33,000 plus expenses.