Owning a flat usually means owning a lease of the property, this is a ‘time-limited’ interest becoming shorter every day. This lease will usually be granted for a set period of time , usually 99 or 125 years, although we have seen longer and shorter terms in Histon. Clearly, the length of lease remaining shortens as time goes by. This may pass by relatively unnoticed when the residence has to be disposed of or re-mortgaged. The fewer the years remaining the lower the value of the property and the more expensive it will be to obtain a lease extension. Eligible leaseholders in Histon have the right to extend the lease for a further 90 years under legislation. Do give careful consideration before putting off your Histon lease extension. Putting off that expense now only increases the price you will ultimately incur for a lease extension
Leasehold properties in Histon with more than one hundred 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 upside in buying the reversionary interest unless savings on ground rent and maintenance charges warrant it.
| Lender | Requirement |
|---|---|
| Birmingham Midshires | |
| Halifax | |
| Leeds Building Society | |
| Royal Bank of Scotland | |
| Yorkshire Building Society |
Lease extensions in Histon can be a difficult process. We recommend you procure guidance from a conveyancing solicitor and valuer with experience in lease extensions.
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 a wealth of experience procuring Histon lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
David owned a conversion flat in Histon on the market with a lease of a little over 61 years unexpired. David informally approached his freeholder a well known Bristol-based freehold company and enquired on a premium to extend the lease. The landlord was keen to grant an extension on non-statutory terms taking the lease to 125 years subject to a new rent at the outset set at £200 per annum and doubled every twenty five years thereafter. Ordinarily, ground rent would not be due on a lease extension were David to exercise his statutory right. David procured expert advice and secured an acceptable resolution informally and ending up with a market value flat.
Last Autumn we were called by Dr Y Díaz , who bought a studio flat in Histon in March 2006. We are asked if we could shed any light on how much (approximately) price would likely be for a 90 year lease extension. Comparative flats in Histon with an extended lease were worth £242,600. The mid-range ground rent payable was £45 billed monthly. The lease came to a finish in 2093. Having 67 years remaining we approximated the premium to the landlord for the lease extension to be between £11,400 and £13,200 not including professional charges.
Mr and Mrs. D Robinson bought a one bedroom apartment in Histon in September 2005. We are asked if we could shed any light on how much (approximately) premium would likely be for a ninety year lease extension. Comparable residencies in Histon with 100 year plus lease were worth £280,000. The mid-range ground rent payable was £55 billed monthly. The lease lapsed in 2104. Taking into account 78 years unexpired we estimated the premium to the landlord to extend the lease to be between £13,300 and £15,400 not including fees.