The nearer a residential lease in Atherstone gets to zero years unexpired, the the greater the reduction in the value of the property. Where the residual term has, in excess of 99 years to run then this decrease may be fractional nevertheless there will become a point in time when a lease has under than eighty years unexpired as part of the premium you will incur is what is known as a marriage value. This could increase sharply the cost. It is the main logic behind why you should consider extending without delay. The majority of flat owners in Atherstone will meet the qualifying criteria; nevertheless a conveyancer can advise if you qualify to extend your lease. In limited situations you may not qualify, the most frequent reason being that you have owned the property for under two years.
Leasehold premises in Atherstone with over 100 years outstanding on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your home. In such circumstances there is often little to be gained by buying the reversionary interest unless savings on ground rent and maintenance charges warrant it.
| Lender | Requirement |
|---|---|
| Bank of Scotland | |
| Barnsley Building Society | |
| Chelsea Building Society | |
| Skipton Building Society | |
| Virgin |
The conveyancers that we work with handle Atherstone lease extensions and help protect your position. A lease extension can be arranged to be completed to coincide with a change of ownership so the costs of the lease extension are paid for using part of the sale proceeds. You really do need expert legal advice in this difficult and technical area of law. The conveyancer we work with provide it.
Half a year ago Lucas, started to get close to the 80-year mark with the lease on his purpose- built apartment in Atherstone. In buying his property two decades ago, the unexpired term was of little interest. Luckily, he realised he would soon be paying way over the odds for Extending the lease. Lucas was able to extend his lease at the eleventh hour in August. Lucas and the freeholder ultimately agreed on the final figure of £6,000 . If he failed to meet the deadline, the sum would have increased by at least £1,050.
In 2013 we were called by Mrs U Kelly who, having owned a purpose-built apartment in Atherstone in May 1997. We are asked if we could approximate the price would likely be for a 90 year extension to my lease. Comparative premises in Atherstone with an extended lease were valued around £235,200. The average ground rent payable was £45 invoiced annually. The lease expiry date was in 2092. Taking into account 66 years as a residual term we calculated the compensation to the freeholder for the lease extension to be between £12,400 and £14,200 exclusive of expenses.
In 2009 we were phoned by Mr A Mason who, having owned a purpose-built apartment in Atherstone in January 2002. The dilemma was if we could shed any light on how much (roughly) premium would be to extend the lease by 90 years. Similar residencies in Atherstone with an extended lease were worth £280,000. The average ground rent payable was £55 invoiced monthly. The lease finished in 2103. Having 77 years unexpired we estimated the compensation to the freeholder to extend the lease to be within £13,300 and £15,400 plus professional charges.