Wilmslow residential property owned on a long lease is a wasting asset because a leaseholder only owns the property for a period of years.
It is conventional wisdom that a residential leasehold with more than 100 years unexpired lease term is worth approximately the equivalent as a freehold. Where an additional 90 years added to any lease with more than 35 years remaining, the premises will be worth the same as a freehold for decades to come.
| Lender | Requirement |
|---|---|
| Bank of Scotland | |
| Nationwide Building Society | |
| Santander | |
| Skipton Building Society | |
| The Mortgage Works |
Retaining our service will provide you better control over the value of your Wilmslow leasehold, as your property will be more valuable and marketable in terms of lease length should you wish to sell. The conveyancing solicitors that we work with have a in-depth market knowledge handling many hundreds of lease extensions or freehold purchase transactions.
Ben owned a conversion flat in Wilmslow on the market with a lease of a little over 61 years unexpired. Ben informally approached his landlord a well known London-based freehold company for a lease extension. The freeholder indicated a willingness to grant an extension taking the lease to 125 years subject to a new rent to start with set at £150 per annum and doubled every twenty five years thereafter. Ordinarily, ground rent would not be payable on a lease extension were Ben to exercise his statutory right. Ben obtained expert legal guidance and was able to make an informed decision and handle with the matter and ending up with a market value flat.
Last Spring we were phoned by Dr Courtney Walker , who moved into a first floor flat in Wilmslow in April 1996. The question was if we could shed any light on how much (approximately) compensation to the landlord would likely be to prolong the lease by ninety years. Identical flats in Wilmslow with 100 year plus lease were in the region of £246,800. The mid-range amount of ground rent was £60 invoiced monthly. The lease finished on 18 August 2076. Considering the 50 years remaining we approximated the premium to the freeholder to extend the lease to be between £44,700 and £51,600 plus expenses.
Last Christmas we were called by Dr Samantha Kelly , who took over the lease of a newly refurbished flat in Wilmslow in October 2002. The question was if we could approximate the price could be for a ninety year extension to my lease. Identical flats in Wilmslow with 100 year plus lease were in the region of £208,200. The average ground rent payable was £65 collected per annum. The lease ended in 2087. Taking into account 61 years remaining we calculated the premium to the freeholder to extend the lease to be within £20,000 and £23,000 plus costs.