Owning a apartment usually means owning a lease of the property, which has a finite term of years. This lease will normally be granted for a fixed period of time , usually 99 or 125 years, although we have witnessed longer and shorter terms in Abbots Langley. Inevitably, the term of lease left reduces as time goes by. This may pass by relatively unnoticed when the flat or house has to be sold or re-mortgaged. The fewer the years remaining the less it is worth and the more expensive it will be to extend the lease. Eligible long lease owners in Abbots Langley have the right to extend the lease for a further ninety years under the 1993 Leasehold Reform Act. You should give due deliberation before delaying your Abbots Langley lease extension. Putting off that expense now simply increases the price you will ultimately incur for a lease extension
Leasehold properties in Abbots Langley with over 100 years remaining on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your premises. In such situations there is often little to be gained by purchasing the reversionary interest unless savings on ground rent and estate charges merit it.
| Lender | Requirement |
|---|---|
| Accord Mortgages | |
| Bank of Scotland | |
| Birmingham Midshires | |
| Nationwide Building Society | |
| Virgin |
Engaging our service gives you enhanced control over the value of your Abbots Langley leasehold, as your property will be more valuable and saleable in terms of lease length should you want to sell. The lawyers that we work with are well versed in the legislation handling many hundreds of lease extensions or freehold purchase transactions.
Lucas owned a conversion flat in Abbots Langley being marketed with a lease of a few days over 59 years left. Lucas on an informal basis spoke with his landlord a well known local-based freehold company and enquired on a premium to extend the lease. The landlord was keen to grant an extension on non-statutory terms taking the lease to 125 years on the basis of a new rent to start with set at £150 per annum and doubled every twenty five years thereafter. No ground rent would be payable on a lease extension were Lucas to invoke his statutory right. Lucas obtained expert legal guidance and was able to make an informed judgement and deal with the matter and sell the flat.
In 2010 we were approached by Mr and Mrs. R Watson who, having completed a ground floor apartment in Abbots Langley in August 2002. The question was if we could estimate the price could be for a 90 year lease extension. Comparative flats in Abbots Langley with a long lease were worth £181,600. The average amount of ground rent was £55 invoiced annually. The lease ran out on 27 May 2078. Taking into account 52 years unexpired we approximated the premium to the landlord to extend the lease to be between £30,400 and £35,200 not including costs.
Last Winter we were phoned by Dr Jonathan Clark , who took over the lease of a first floor flat in Abbots Langley in January 2007. We are asked if we could approximate the compensation to the landlord could be for a 90 year extension to my lease. Identical homes in Abbots Langley with a long lease were in the region of £290,000. The average ground rent payable was £45 invoiced per annum. The lease elapsed on 27 September 2098. Given that there were 72 years as a residual term we approximated the compensation to the landlord to extend the lease to be within £11,400 and £13,200 exclusive of expenses.