Unfortunately that a Alston residential lease is a wasting asset. The lease value reduces in proportion to its lease length. The extent of this is taken for granted in the early years due to the depreciation being disguised by increases in the Alston property prices.Once your lease nears 85ish years, you need to start thinking about a lease extension. If lease term dips below 80 years, you will end up paying 50% of the property's 'marriage value' on top of the usual cost of the lease extension to the landlord. The marriage fee is the amount of extra value that a lease extension will add the property Most flat owners in Alston will be able to extend under the legislation; however a lawyer should be able to clarify if you are eligibility. In some situations you may not be entitled. There are also strict timeframes and procedures to follow once the process is instigated and you will need to be guided by your conveyancing solicitor throughout the process.
Leasehold premises in Alston with more than 100 years outstanding on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your premises. In such situations there is often little upside in buying the freehold unless savings on ground rent and service charges merit it.
| Lender | Requirement |
|---|---|
| Barclays plc | |
| Barnsley Building Society | |
| Leeds Building Society | |
| National Westminster Bank | |
| Royal Bank of Scotland |
Engaging our service will provide you better control over the value of your Alston leasehold, as your property will be more valuable and saleable in terms of lease length should you decide 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.
During the course of the last few months William, started to get near to the 80-year threshold with the lease on his leasehold apartment in Alston. Having purchased his property two decades ago, the length of the lease was of little significance. Thankfully, he realised he would imminently be paying an inflated amount for Extending the lease. William arranged for a lease extension just under the wire in March. William and the freeholder via the management company eventually agreed on a premium of £5,500 . If he not met the deadline, the amount would have increased by a minimum £850.
Dr Nathan Evans purchased a first floor flat in Alston in September 2006. The dilemma was if we could shed any light on how much (approximately) compensation to the landlord would be for a 90 year extension to my lease. Identical homes in Alston with an extended lease were in the region of £285,000. The mid-range ground rent payable was £45 collected monthly. The lease ended in 2098. Given that there were 72 years left we calculated the premium to the freeholder to extend the lease to be between £12,400 and £14,200 not including fees.
In 2012 we were approached by Ms U André who, having took over the lease of a one bedroom apartment in Alston in November 2007. We are asked if we could estimate the price would likely be for a ninety year lease extension. Comparative flats in Alston with an extended lease were in the region of £233,200. The average ground rent payable was £60 invoiced quarterly. The lease concluded on 2 July 2087. Taking into account 61 years outstanding we estimated the compensation to the freeholder to extend the lease to be within £22,800 and £26,400 not including costs.