When it comes to domestic leasehold premises in Stilton, you are in fact renting it for a certain period of time. Modern flat leases typically tend to be for 99 years or 125. Even though this may appear like a long period of time, you may consider a lease extension sooner rather than later. The general rule is that the shorter the lease is the cost of extending the lease gets disproportionately greater especially when there are less than eighty years remaining. Leasehold owners in Stilton with a lease drawing near to 81 years left should seriously consider extending it without delay. When a lease has under 80 years left, under the relevant statute the freeholder is entitled to calculate and levy a greater amount, based on a technical calculation, strangely termed as “marriage value” which is payable.
It is conventional wisdom that a property with more than one hundred years remaining is worth roughly the equivalent as a freehold. Where an further ninety years added to all but the shortest lease, the premises will be worth the same as a freehold for many years ahead.
| Lender | Requirement |
|---|---|
| Accord Mortgages | |
| Birmingham Midshires | |
| Chelsea Building Society | |
| Virgin | |
| Yorkshire Building Society |
Retaining our service gives you increased control over the value of your Stilton leasehold, as your property will be more valuable and marketable in terms of lease length should you wish to sell. The conveyancers that we work with are well versed in the legislation handling many hundreds of lease extensions or freehold purchase transactions.
After protracted negotiations with the landlord of her one bedroom flat in Stilton, Isabel started the lease extension process just as her lease was coming close to the all-important eighty-year mark. The transaction was finalised in May 2014. The landlord’s charges were kept to an absolute minimum.
Last Summer we were approach by Ms Anna Wood , who completed a garden apartment in Stilton in May 2011. We are asked if we could approximate the price would likely be for a ninety year extension to my lease. Comparable residencies in Stilton with 100 year plus lease were in the region of £193,400. The mid-range ground rent payable was £65 invoiced every twelve months. The lease termination date was on 24 May 2085. Given that there were 59 years as a residual term we estimated the compensation to the landlord for the lease extension to be between £21,900 and £25,200 exclusive of professional charges.
Mr and Mrs. K Walker purchased a ground floor flat in Stilton in November 2003. The question was if we could approximate the compensation to the landlord would be to prolong the lease by ninety years. Comparative properties in Stilton with an extended lease were worth £255,000. The average ground rent payable was £50 invoiced annually. The lease ended in 2096. Having 70 years remaining we approximated the premium to the freeholder to extend the lease to be between £10,500 and £12,000 plus costs.