The market value of a leasehold property in Barton le Willows depends on how many years the lease has left to run. If it is near to or less than 80 years you should foresee problems on re-sale, so it is advisable to arrange for a lease extension before buying. It is preferable to commence the process of extending the lease is when a lease still has 82 years to run so that formalities can be addressed ahead of the 80 year cut off point. Statute enables Barton le Willows qualifying lessees to obtain a lease extension of ninety years on top of the remaining length of the lease at a peppercorn rent (that is, rent free). The reason of the valuation is to arrive at an opinion of the amount payable by the lessee to the freeholder for the acquisition of the lease extension.
Leasehold properties in Barton le Willows with more than 100 years unexpired 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 to be gained by purchasing the freehold unless savings on ground rent and estate charges justify it.
| Lender | Requirement |
|---|---|
| Bank of Scotland | |
| Barnsley Building Society | |
| Halifax | |
| TSB | |
| The Mortgage Works |
Using our service gives you better control over the value of your Barton le Willows leasehold, as your property will be more valuable and saleable in respect of lease length should you wish to sell. The conveyancers that we work with have a in-depth market knowledge handling many hundreds of lease extensions or freehold purchase transactions.
Jonathan owned a high value flat in Barton le Willows being marketed with a lease of a little over sixty years left. Jonathan on an informal basis contacted his landlord being a well known London-based freehold company and enquired on a premium to extend the lease. The landlord 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 twenty five years thereafter. Ordinarily, ground rent would not be due on a lease extension were Jonathan to invoke his statutory right. Jonathan procured expert advice and was able to make an informed judgement and handle with the matter and readily saleable.
In 2012 we were phoned by Mrs R Moore who, having took over the lease of a one bedroom apartment in Barton le Willows in February 2010. We are asked if we could approximate the compensation to the landlord could be for a 90 year lease extension. Identical homes in Barton le Willows with an extended lease were valued around £285,000. The mid-range amount of ground rent was £55 billed per annum. The lease concluded in 2106. Considering the 80 years left we calculated the premium to the freeholder for the lease extension to be between £12,400 and £14,200 exclusive of professional charges.
Last Summer we were e-mailed by Mr and Mrs. R Gunderson , who bought a one bedroom flat in Barton le Willows in August 2004. The dilemma was if we could shed any light on how much (roughly) price would be for a 90 year lease extension. Comparable residencies in Barton le Willows with an extended lease were in the region of £198,400. The mid-range ground rent payable was £65 billed per annum. The lease lapsed in 2085. Having 59 years unexpired we approximated the premium to the freeholder for the lease extension to be between £21,900 and £25,200 not including fees.