For those whose Parkstone property is held on a long lease, our message is clear – if you do nothing, your property will ultimately revert to your landlord, leaving you empty-handed. The fewer the years remaining the less it is worth and the more it will cost to obtain a lease extension.
It is generally accepted that a property with in excess of one hundred years remaining is worth roughly the same as a freehold. Where an further ninety years added to all but the shortest lease, the premises will be equivalent in value to a freehold for decades to come.
| Lender | Requirement |
|---|---|
| Coventry Building Society | |
| Godiva Mortgages | |
| Leeds Building Society | |
| Royal Bank of Scotland | |
| Yorkshire Building Society |
Engaging our service will provide you better control over the value of your Parkstone leasehold, as your property will be more valuable and marketable in respect of lease length should you wish to sell. The lawyers that we work with have a in-depth market knowledge handling many hundreds of lease extensions or freehold purchase transactions.
Leon was the the leasehold proprietor of a high value apartment in Parkstone being marketed with a lease of a little over 61 years remaining. Leon on an informal basis spoke with his landlord being a well known Bristol-based freehold company for a lease extension. The freeholder indicated a willingness to extend the lease to 125 years on the basis of a new rent to start with set at £150 per annum and increase every 25 years thereafter. Ordinarily, ground rent would not be due on a lease extension were Leon to exercise his statutory right. Leon obtained expert legal guidance and secured an acceptable resolution without going to tribunal and sell the property.
Mr O Mason was assigned a lease of a garden apartment in Parkstone in April 2009. We are asked if we could shed any light on how much (approximately) premium could be for a ninety year lease extension. Comparable residencies in Parkstone with an extended lease were worth £183,600. The mid-range ground rent payable was £65 billed yearly. The lease ended in 2083. Considering the 57 years as a residual term we estimated the compensation to the freeholder to extend the lease to be within £28,500 and £33,000 plus fees.
Dr O Laurent bought a studio flat in Parkstone in July 2005. We are asked if we could shed any light on how much (approximately) premium would likely be to prolong the lease by a further 90 years. Comparative properties in Parkstone with an extended lease were in the region of £245,000. The average amount of ground rent was £50 billed monthly. The lease expired on 17 January 2094. Having 68 years as a residual term we approximated the premium to the freeholder to extend the lease to be between £9,500 and £11,000 plus legals.