Unfortunately that a Alston residential lease is a wasting asset. As the lease term reduces so does the value of the property. The extent of this is taken for granted in the early years due to the loss of value being disguised by increases in the Alston property prices.Where your lease has approximately 90 years left, you should start thinking about a lease extension. An important point to note is that it is desirable for lease extension to take place before the term of the existing lease dips below 80 years - otherwise a higher amount will be due. The majority of flat owners in Alston will be able to extend under the legislation; however a conveyancing solicitor will be able to clarify whether you are eligibility. In some situations you may not qualify. There are also strict deadlines and procedures to follow once the process is initiated and you will need to be guided by your conveyancing solicitor throughout the process.
Leasehold residencies in Alston with more than one hundred years unexpired on the lease are sometimes referred to as ‘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 to be gained by purchasing the reversionary interest unless savings on ground rent and estate charges justify it.
| Lender | Requirement |
|---|---|
| Accord Mortgages | |
| Chelsea Building Society | |
| Coventry Building Society | |
| Nationwide Building Society | |
| The Mortgage Works |
Lease extensions in Alston can be a difficult process. We recommend you obtain guidance from a lawyer 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 in-depth market knowledge dealing with Alston lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Dexter owned a 2 bedroom apartment in Alston on the market with a lease of fraction over sixty years left. Dexter informally spoke with his landlord being a well known Bristol-based freehold company for a lease extension. The freeholder indicated a willingness to extend the lease to 125 years on the basis of a new rent to start with set at £150 per annum and doubled every 25 years thereafter. Ordinarily, ground rent would not be payable on a lease extension were Dexter to exercise his statutory right. Dexter procured expert legal guidance and was able to make an informed judgement and handle with the matter and ending up with a market value flat.
Last year we were approach by Mrs Kayleigh Taylor , who purchased a studio flat in Alston in February 2003. We are asked if we could estimate the premium would likely be for a 90 year extension to my lease. Similar residencies in Alston with a long lease were worth £206,200. The mid-range ground rent payable was £55 invoiced quarterly. The lease lapsed in 2082. Taking into account 56 years remaining we calculated the compensation to the landlord for the lease extension to be within £31,400 and £36,200 exclusive of costs.
In 2010 we were contacted by Mrs S Hall who, having was assigned a lease of a one bedroom apartment in Alston in April 2003. The dilemma was if we could estimate the compensation to the landlord could be for a ninety year extension to my lease. Comparable premises in Alston with a long lease were in the region of £300,000. The mid-range ground rent payable was £50 billed monthly. The lease end date was on 9 April 2102. Considering the 76 years remaining we approximated the compensation to the landlord to extend the lease to be within £8,600 and £9,800 exclusive of legals.