The market value of a leasehold property in Bodmin is impacted by how many years the lease has left to run. If it is close to or less than eighty years you should anticipate difficulties on re-sale, so it is recommended to arrange for the lease to be extended before purchasing. It is preferable to start the process of extending the lease is when a lease still has 82 years unexpired so that a lease extension can be finalised well before the eighty year cut off point. Leasehold Reform legislation enables Bodmin qualifying lessees to obtain a new lease which will be for the balance of the existing lease plus an additional term of ninety years. The reason of the valuation is to arrive at an opinion of the amount payable by the lessee to the freeholder for the purchase of the lease extension.
Leasehold premises in Bodmin with more than 100 years remaining on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your home. In such situations there is often little upside in purchasing the freehold unless savings on ground rent and maintenance charges warrant it.
| Lender | Requirement |
|---|---|
| Accord Mortgages | |
| Godiva Mortgages | |
| Halifax | |
| Skipton Building Society | |
| The Mortgage Works |
Lease extensions in Bodmin can be a difficult process. We recommend you get professional help from a conveyancing solicitor and surveyor with experience in lease extensions.
We provide you with an expert from a selection of lease extension solicitors, which ensures a targeted and efficient service as you have a dedicated port of call with an individual lawyer. Our lease extension solicitors have a wealth of experience dealing with Bodmin lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Last year Alexander, started to get near to the eighty-year mark with the lease on his basement apartment in Bodmin. In buying his flat two decades ago, the unexpired term was of little relevance. Thankfully, it dawned on him that he would imminently be paying way over the odds for Extending the lease. Alexander arranged for a lease extension just ahead of time last July. Alexander and the landlord who owned the flat above in the end settled on an amount of £5,000 . If he had missed the deadline, the amount would have escalated by a minimum £950.
Last Christmas we were phoned by Mr and Mrs. B David , who acquired a studio flat in Bodmin in February 2003. The question was if we could shed any light on how much (roughly) compensation to the landlord would likely be for a 90 year extension to my lease. Identical premises in Bodmin with a long lease were in the region of £267,600. The mid-range amount of ground rent was £65 invoiced annually. The lease lapsed in 2093. Having 67 years as a residual term we estimated the premium to the freeholder to extend the lease to be between £14,300 and £16,400 plus legals.
Last Winter we were contacted by Dr Megan Adams , who completed a studio flat in Bodmin in February 2002. The dilemma was if we could approximate the premium would likely be to extend the lease by ninety years. Identical residencies in Bodmin with 100 year plus lease were worth £206,200. The average amount of ground rent was £55 invoiced every twelve months. The lease expired in 2082. Having 56 years as a residual term we estimated the compensation to the landlord for the lease extension to be within £31,400 and £36,200 not including legals.