Belton leases on residential properties are gradually decreasing in value. The shorter the remaining lease term becomes, the less it is worth – and accordingly any extension of your lease gets more expensive. The majority of owners of residential leasehold property in Belton enjoy rights under legislation to extend the terms of their leases. Where you are a leasehold owner in Belton you would be well advised to see if your lease has between 70 and 90 years left. There are compelling reasons why a Belton flat owner with a lease having around 80 years unexpired should take action to ensure that a lease extension is put in place without delay
Leasehold properties in Belton with over one hundred years outstanding on the lease are often referred to as ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your property. In such situations there is often little upside in buying the reversionary interest unless savings on ground rent and service charges justify it.
| Lender | Requirement |
|---|---|
| Bank of Scotland | |
| Leeds Building Society | |
| Nationwide Building Society | |
| Santander | |
| The Mortgage Works |
Engaging our service will provide you increased control over the value of your Belton leasehold, as your property will be more valuable and saleable in respect of lease length should you wish 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.
David owned a studio flat in Belton being sold with a lease of a little over 59 years remaining. David on an informal basis contacted his landlord being a well known local-based freehold company for a lease extension. The freeholder was prepared to grant an extension on non-statutory terms taking the lease to 125 years subject to a new rent at the outset set at £200 per annum and increase every 25 years thereafter. No ground rent would be due on a lease extension were David to exercise his statutory right. David procured expert legal guidance and was able to make a more informed decision and handle with the matter and sell the flat.
In 2013 we were called by Mr and Mrs. J Campbell who, having acquired a purpose-built flat in Belton in July 1995. The question was if we could approximate the compensation to the landlord would be for a ninety year lease extension. Identical premises in Belton with 100 year plus lease were valued about £285,000. The mid-range ground rent payable was £45 collected quarterly. The lease came to a finish in 2097. Having 71 years as a residual term we approximated the premium to the landlord for the lease extension to be between £12,400 and £14,200 not including expenses.
Mr and Mrs. V Williams purchased a purpose-built apartment in Belton in February 1996. We are asked if we could estimate the compensation to the landlord could be for a 90 year lease extension. Comparative premises in Belton with 100 year plus lease were in the region of £225,800. The mid-range ground rent payable was £60 collected annually. The lease finished in 2086. Considering the 60 years remaining we calculated the compensation to the landlord to extend the lease to be between £23,800 and £27,400 not including legals.