As the the remaining lease term of a Shotton domestic lease diminished so does its value and therefore the value of your property. Where the residual term has, in excess of 125 years to run then this decrease may be negligible that being said there will become a stage when a lease has under than eighty years left 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 rational as to why you should consider extending without delay. The majority of flat owners in Shotton will meet the qualifying criteria; however a conveyancing solicitor should be able to confirm whether you qualify to extend your lease. In limited situations you may not qualify, the most common reason being that you have not been the owner of the property for two years.
Leasehold properties in Shotton with over 100 years left on the lease are sometimes referred to as ‘virtual freehold’. This is where the lease value the same as a freehold interest in your premises. In such situations there is often little upside in purchasing the reversionary interest unless savings on ground rent and estate charges warrant it.
| Lender | Requirement |
|---|---|
| Bank of Scotland | |
| Leeds Building Society | |
| The Mortgage Works | |
| Virgin | |
| Yorkshire Building Society |
The lawyers that we work with handle Shotton lease extensions and help protect your position. A lease extension can be arranged to be completed to coincide with a change of ownership so the costs of the lease extension are paid for using part of the sale proceeds. You really do need expert legal advice in this difficult and technical area of law. The lawyer we work with provide it.
In the wake of 6 months of unsuccessful discussions with the freeholder of her one bedroom flat in Shotton, Ellie commenced the lease extension process as the 80 year threshold was fast approaching. The lease extension was concluded in July 2012. The landlord’s charges were kept to an absolute minimum.
Mrs E Carter bought a ground floor flat in Shotton in August 1998. We are asked if we could estimate the price would be to extend the lease by ninety years. Similar properties in Shotton with a long lease were worth £166,800. The average amount of ground rent was £50 collected every twelve months. The lease finished in 2076. Given that there were 50 years as a residual term we estimated the premium to the freeholder for the lease extension to be between £32,300 and £37,400 exclusive of costs.
Mr and Mrs. S Baker moved into a one bedroom apartment in Shotton in April 1998. The dilemma was if we could shed any light on how much (approximately) price would likely be for a ninety year lease extension. Comparative flats in Shotton with an extended lease were worth £280,000. The mid-range ground rent payable was £45 invoiced every twelve months. The lease expiry date was in 2096. Having 70 years remaining we approximated the premium to the landlord for the lease extension to be within £12,400 and £14,200 plus costs.