The re-sale value of a leasehold property in Anston depends on how long the lease has remaining. If it is close to or less than 80 years you should anticipate difficulties on re-sale, so it is advisable to arrange for the lease to be extended ahead of buying. It is ideal to start the process of extending the lease is when the lease still has 82 years unexpired so that formalities can be finalised in advance of the 80 year threshold. Current legislation entitles Anston qualifying lessees to an additional term of 90 years in addition to the remaining term, at a peppercorn rent (zero ground rent). The reason of the valuation is to determine the premium payable by the lessee to the freeholder for the purchase of the lease extension.
Leasehold premises in Anston with more than one hundred years remaining on the lease are often referred to as ‘virtual freehold’. This is where the lease value the same as a freehold interest in your home. In such situations there is often little upside in buying the reversionary interest unless savings on ground rent and service charges warrant it.
| Lender | Requirement |
|---|---|
| Accord Mortgages | |
| Coventry Building Society | |
| Halifax | |
| Nationwide Building Society | |
| Yorkshire Building Society |
Irrespective of whether you are a tenant or a landlord in Anston,the lease extension experts that we work with will always be happy to discuss any residential leasehold matters and offer you the benefit of their in-depth market knowledge and the close ties they enjoy with Anston valuers.
Omar was the the leasehold proprietor of a high value flat in Anston being sold with a lease of just over 59 years remaining. Omar informally contacted his freeholder a well known London-based freehold company and enquired on a premium to extend the lease. The freeholder was prepared to give an extension on non-statutory terms taking the lease to 125 years on the basis of a new rent at the outset set at £100 per annum and increase every twenty five years thereafter. No ground rent would be due on a lease extension were Omar to exercise his statutory right. Omar obtained expert advice and was able to make an informed judgement and handle with the matter and ending up with a market value flat.
Last month we were contacted by Dr V André , who took over the lease of a garden apartment in Anston in May 1999. We are asked if we could approximate the compensation to the landlord would likely be for a 90 year lease extension. Comparative premises in Anston with a long lease were worth £243,000. The average amount of ground rent was £65 billed quarterly. The lease finished in 2089. Considering the 63 years left we calculated the premium to the landlord for the lease extension to be within £20,000 and £23,000 plus fees.
Dr S Ali took over the lease of a studio flat in Anston in July 2011. The question was if we could approximate the price would likely be for a 90 year lease extension. Comparable premises in Anston with an extended lease were valued about £181,600. The mid-range amount of ground rent was £55 collected annually. The lease lapsed on 23 June 2078. Given that there were 52 years outstanding we approximated the compensation to the landlord to extend the lease to be within £30,400 and £35,200 plus legals.