When it comes to residential leasehold premises in Anstey, you effectively rent it for a certain period of time. Modern flat leases typically tend to be for 99 years or 125. Even though this may appear like a long period of time, you should consider a lease extension sooner as opposed to later. The general rule is that the shorter the number of years is the cost of extending the lease gets disproportionately greater notably when there are less than 80 years remaining. Leasehold owners in Anstey with a lease approaching 81 years left should seriously consider extending it sooner rather than later. Once the lease term has below 80 years left, under the relevant Act the landlord can calculate and demand a larger premium, based on a technical multiplication, strangely termed as “marriage value” which is due.
It is conventional wisdom that a residential leasehold with more than one hundred years remaining is worth approximately the same as a freehold. Where an further ninety years added to all but the shortest lease, the premises will be worth the same as a freehold for decades to come.
| Lender | Requirement |
|---|---|
| Accord Mortgages | |
| Barclays plc | |
| Coventry Building Society | |
| Godiva Mortgages | |
| Yorkshire Building Society |
Lease extensions in Anstey can be a difficult process. We recommend you get guidance from a conveyancer and valuer well versed in the legislation and lease extension process.
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 procuring Anstey lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Theo owned a studio flat in Anstey on the market with a lease of fraction over sixty years remaining. Theo informally contacted his freeholder a well known Bristol-based freehold company for a lease extension. The landlord was prepared to agree an extension on non-statutory terms taking the lease to 125 years subject to a new rent initially set at £200 per annum and doubled every twenty five years thereafter. No ground rent would be payable on a lease extension were Theo to exercise his statutory right. Theo procured expert advice and was able to make a more informed decision and deal with the matter and ending up with a market value flat.
In 2010 we were e-mailed by Mrs G Dupont who, having acquired a studio flat in Anstey in May 1996. We are asked if we could shed any light on how much (approximately) compensation to the landlord could be for a 90 year lease extension. Identical properties in Anstey with 100 year plus lease were in the region of £200,000. The average amount of ground rent was £50 collected quarterly. The lease terminated on 21 January 2103. Having 77 years as a residual term we estimated the compensation to the landlord for the lease extension to be between £8,600 and £9,800 not including fees.
In 2010 we were phoned by Dr Ali Bennett who, having acquired a garden flat in Anstey in September 2006. We are asked if we could approximate the premium could be for a ninety year lease extension. Comparable homes in Anstey with a long lease were valued around £260,200. The average ground rent payable was £65 billed yearly. The lease concluded in 2092. Taking into account 66 years left we approximated the premium to the freeholder for the lease extension to be between £14,300 and £16,400 not including expenses.