The value of Blackpool leasehold residential property falls as the lease term becomes shorter and this will have an impact on its saleability. The cost of a lease extension can increase materialy once the remaining term is less than eighty years
It is generally accepted that a residential leasehold with in excess of 100 years unexpired lease term is worth roughly the same as a freehold. Where an further ninety years added to any lease with more than 30 years left, the premises will be worth the same as a freehold for many years ahead.
| Lender | Requirement |
|---|---|
| Nationwide Building Society | |
| Skipton Building Society | |
| TSB | |
| Virgin | |
| Yorkshire Building Society |
Engaging our service gives you better control over the value of your Blackpool leasehold, as your property will be more valuable and marketable in respect of lease length should you wish to sell. The lawyers that we work with have a wealth of experience of handling many hundreds of lease extensions or freehold purchase transactions.
Connor was the the leasehold proprietor of a 2 bedroom flat in Blackpool on the market with a lease of fraction over 59 years remaining. Connor informally approached his landlord being a well known London-based freehold company and enquired on a premium to extend the lease. The freeholder indicated a willingness to grant an extension taking the lease to 125 years on the basis of a rise in the rent to £125 yearly. No ground rent would be due on a lease extension were Connor to exercise his statutory right. Connor obtained expert advice and was able to make an informed decision and deal with the matter and readily saleable.
Mr and Mrs. C Girard bought a one bedroom flat in Blackpool in March 2001. The question was if we could estimate the premium would likely be to extend the lease by a further 90 years. Comparative premises in Blackpool with an extended lease were worth £260,000. The average amount of ground rent was £50 invoiced quarterly. The lease ended on 21 April 2097. Taking into account 71 years unexpired we estimated the compensation to the freeholder to extend the lease to be between £9,500 and £11,000 plus professional charges.
Dr O Rivera owned a studio flat in Blackpool in February 2008. The dilemma was if we could approximate the price could be to prolong the lease by 90 years. Similar flats in Blackpool with a long lease were in the region of £254,200. The mid-range amount of ground rent was £60 collected per annum. The lease came to a finish in 2077. Having 51 years unexpired we estimated the premium to the landlord to extend the lease to be between £43,700 and £50,600 exclusive of costs.