Unfortunately that a Booker residential lease is a wasting asset. As the lease term diminishes so does the value of the property. The extent of this is not fully appreciated in the first few years due to the depreciation being disguised by increases in the Booker property prices.Once your lease gets to 85ish years, you need to start thinking about a lease extension. If the number of years remaining dips under 80 years, you will end up paying 50% of the property's 'marriage value' on top of the usual cost of the lease extension to the landlord. The marriage fee is the amount of additional value that a lease extension will add the property Most leasehold owners in Booker will be able to extend under the legislation; however a lawyer should be able to clarify whether you qualify for an extension. In some cases you may not qualify. There are also strict deadlines and procedures to be adhered to once the process is initiated and you will need to be guided by your conveyancer throughout the formalities.
Leasehold properties in Booker with over 100 years remaining 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 property. In such circumstances there is often little to be gained by purchasing the reversionary interest unless savings on ground rent and maintenance charges warrant it.
| Lender | Requirement |
|---|---|
| National Westminster Bank | |
| Santander | |
| Royal Bank of Scotland | |
| Virgin | |
| Yorkshire Building Society |
Retaining our service gives you better control over the value of your Booker leasehold, as your property will be more valuable and marketable in relation to the lease length should you decide to sell. The conveyancers that we work with have a wealth of experience of handling many hundreds of lease extensions or freehold purchase transactions.
Off the back of unsuccessful discussions with the landlord of her purpose-built flat in Booker, Jodie initiated the lease extension process just as the lease was nearing the crucial 80-year threshold. The lease extension was finalised in May 2008. The landlord’s costs were negotiated to slightly above 700 pounds.
Last Christmas we were approach by Mr E Adams , who bought a newly refurbished flat in Booker in June 2006. We are asked if we could shed any light on how much (roughly) compensation to the landlord would likely be for a ninety year lease extension. Comparable flats in Booker with 100 year plus lease were in the region of £237,600. The mid-range ground rent payable was £45 invoiced annually. The lease concluded on 3 November 2093. Considering the 67 years outstanding we approximated the premium to the freeholder for the lease extension to be between £11,400 and £13,200 plus professional charges.
In 2013 we were phoned by Mr and Mrs. L Jackson who, having completed a garden apartment in Booker in May 1995. We are asked if we could estimate the compensation to the landlord would likely be for a ninety year extension to my lease. Comparable residencies in Booker with an extended lease were valued about £280,000. The average amount of ground rent was £55 billed quarterly. The lease elapsed in 2104. Considering the 78 years outstanding we approximated the premium to the freeholder for the lease extension to be within £13,300 and £15,400 not including costs.