The market value of a leasehold property in Wallasey depends on how long the lease has left to run. If it is close to or less than eighty years you should envisage difficulties on re-sale, so it is advisable to arrange for the lease to be extended before purchasing. It is preferable to commence the process of extending the lease is when a lease still has 82 years unexpired so that formalities can be finalised well before the 80 year cut off point. Leasehold Reform legislation enables Wallasey qualifying lessees to obtain a lease extension of 90 years on top of the remaining length of the lease at a peppercorn rent (that is, rent free). The intention of the valuation is to arrive at an opinion of the sum payable by the lessee to the freeholder for the acquisition of the lease extension.
Leasehold premises in Wallasey with in excess of 100 years unexpired on the lease are often regarded as a ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your property. In such situations there is often little upside in buying the freehold unless savings on ground rent and estate charges merit it.
| Lender | Requirement |
|---|---|
| Accord Mortgages | |
| Santander | |
| The Mortgage Works | |
| Royal Bank of Scotland | |
| Virgin |
Lease extensions in Wallasey can be a difficult process. We recommend you get guidance from a conveyancer 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 a wealth of experience dealing with Wallasey lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Oliver owned a high value flat in Wallasey on the market with a lease of a few days over 59 years left. Oliver informally contacted his freeholder being a well known local-based freehold company and enquired on a premium to extend the lease. The freeholder was prepared to agree an extension on non-statutory terms taking the lease to 125 years subject to a new rent at the outset set at £100 per annum and increase every twenty five years thereafter. No ground rent would be due on a lease extension were Oliver to invoke his statutory right. Oliver obtained expert legal guidance and was able to make a more informed decision and deal with the matter and ending up with a market value flat.
Last Christmas we were called by Mr and Mrs. A Gray , who took over the lease of a first floor flat in Wallasey in September 2006. The question was if we could approximate the price would likely be to extend the lease by a further 90 years. Comparative premises in Wallasey with a long lease were worth £285,000. The average amount of ground rent was £45 billed annually. The lease finished in 2097. Given that there were 71 years unexpired we estimated the compensation to the landlord to extend the lease to be between £12,400 and £14,200 exclusive of fees.
Mr and Mrs. R Anderson owned a garden flat in Wallasey in November 1995. The dilemma was if we could shed any light on how much (roughly) premium would be for a ninety year extension to my lease. Comparative premises in Wallasey with 100 year plus lease were worth £225,800. The average amount of ground rent was £60 collected every twelve months. The lease ran out on 17 September 2086. Taking into account 60 years remaining we approximated the premium to the landlord to extend the lease to be between £23,800 and £27,400 exclusive of costs.