As the length of the unexpired term of a Beaufort domestic lease diminished so does its value and therefore the value of your property. Where the residual term has, over 99 years remaining then this decrease may be of little impact nevertheless there will become a point in time when a lease has less than eighty years unexpired as part of the premium you will incur is what is known as a marriage value. This could increase markedly the cost. It is the primary reason why you should extend the lease without delay. Many flat owners in Beaufort will qualify for this right; however a conveyancing solicitor can advise if you qualify to extend your lease. In certain situations you may not qualify, the most frequent reason being that you have not been the owner of the property for two years.
Leasehold properties in Beaufort with more than one hundred years outstanding 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 maintenance charges warrant it.
| Lender | Requirement |
|---|---|
| Accord Mortgages | |
| Godiva Mortgages | |
| National Westminster Bank | |
| TSB | |
| The Mortgage Works |
Using our service will provide you better control over the value of your Beaufort leasehold, as your property will be more valuable and marketable in terms of lease length should you want to sell. The conveyancing solicitors that we work with are well versed in the legislation handling many hundreds of lease extensions or freehold purchase transactions.
Half a year ago John, came precariously close to the eighty-year mark with the lease on his garden apartment in Beaufort. Having purchased his flat two decades ago, the lease term was of no interest. Fortunately, he realised he needed to take action soon on a lease extension. John was able to extend his lease just under the wire in July. John and the freeholder in the end agreed on an amount of £5,000 . If the lease had dipped to less than eighty years, the sum would have increased by a minimum £1,125.
Dr S Parker bought a ground floor flat in Beaufort in November 2003. We are asked if we could estimate the premium would likely be for a ninety year extension to my lease. Similar premises in Beaufort with 100 year plus lease were worth £275,000. The average amount of ground rent was £45 collected yearly. The lease lapsed in 2095. Considering the 69 years as a residual term we approximated the premium to the landlord to extend the lease to be between £12,400 and £14,200 exclusive of professional charges.
In 2011 we were e-mailed by Mr and Mrs. R Brown who, having took over the lease of a recently refurbished flat in Beaufort in April 2004. We are asked if we could estimate the premium could be to extend the lease by 90 years. Identical properties in Beaufort with 100 year plus lease were valued around £216,000. The mid-range ground rent payable was £60 invoiced annually. The lease expiry date was in 2084. Given that there were 58 years as a residual term we estimated the premium to the landlord to extend the lease to be within £28,500 and £33,000 plus fees.