There is no doubt about it a leasehold flat or house in Blandford Forum is a wasting asset as a result of the shortening lease. Where the lease has, beyond 99 years remaining then this decrease may be negligible however there will become a point in time when a lease has under than eighty years remaining as part of the premium you will incur is what is known as a marriage value. This could be significant. It is the main rational as to why you should extend the lease without delay. Most flat owners in Blandford Forum will qualify for this right; however a lawyer can advise whether you are eligible for a lease extension. 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.
It is generally considered that a property with more than one hundred years remaining is worth roughly the equivalent as a freehold. Where an further 90 years added to any lease with more than 30 years unexpired, the residence will be equivalent in value to a freehold for decades to come.
| Lender | Requirement |
|---|---|
| Accord Mortgages | |
| National Westminster Bank | |
| Santander | |
| Skipton Building Society | |
| Yorkshire Building Society |
Retaining our service will provide you enhanced control over the value of your Blandford Forum leasehold, as your property will be more valuable and marketable in terms of lease length should you decide to sell. The conveyancers that we work with are well versed in the legislation handling many hundreds of lease extensions or freehold purchase transactions.
Last Christmas Harrison, started to get close to the eighty-year threshold with the lease on his garden flat in Blandford Forum. Having purchased his property 18 years ago, the lease term was of minimal bearing. Luckily, he realised he would soon be paying an escalated premium for Extending the lease. Harrison arranged for a lease extension just ahead of time last June. Harrison and the landlord ultimately settled on sum of £5,000 . If he failed to meet the deadline, the premium would have gone up by a minimum £925.
Last year we were called by Mrs Molly Bailey , who took over the lease of a newly refurbished flat in Blandford Forum in February 2000. The dilemma was if we could approximate the compensation to the landlord would be to prolong the lease by a further 90 years. Identical residencies in Blandford Forum with 100 year plus lease were in the region of £275,000. The average amount of ground rent was £65 billed quarterly. The lease lapsed on 9 April 2094. Taking into account 68 years remaining we estimated the premium to the freeholder to extend the lease to be between £13,300 and £15,400 plus professional charges.
In 2011 we were e-mailed by Dr B Rivera who, having bought a studio flat in Blandford Forum in July 1996. We are asked if we could shed any light on how much (approximately) premium could be to extend the lease by ninety years. Comparable residencies in Blandford Forum with 100 year plus lease were valued about £208,600. The mid-range amount of ground rent was £60 invoiced monthly. The lease ended in 2083. Given that there were 57 years left we calculated the premium to the landlord for the lease extension to be within £30,400 and £35,200 not including fees.