With a domestic leasehold premises in Burton upon Trent, you effectively rent it for a certain amount of time. Modern flat leases are usually granted for 99 years or 125. Many leasehold owners become complacent as this seems like a long period of time, you may think about a lease extension sooner rather than later. Accepted thinking is that the shorter the lease is the cost of extending the lease increases markedly particularly when there are fewer than 80 years left. Residents in Burton upon Trent with a lease nearing 81 years remaining should seriously think of extending it as soon as possible. When the lease term has under eighty years left, under the relevant legislation the freeholder can calculate and charge a greater premium, assessed on a technical multiplication, strangely termed as “marriage value” which is payable.
It is conventional wisdom that a property with in excess of 100 years unexpired lease term is worth approximately the equivalent as a freehold. Where an additional ninety years added to any lease with more than 30 years left, the residence will be equivalent in value to a freehold for many years ahead.
| Lender | Requirement |
|---|---|
| Accord Mortgages | |
| Barclays plc | |
| Godiva Mortgages | |
| Nationwide Building Society | |
| Royal Bank of Scotland |
Regardless of whether you are a tenant or a freeholder in Burton upon Trent,the lease extension lawyers that we work with will always be willing to discuss any residential leasehold matters and offer you the benefit of their experience and the close ties they enjoy with Burton upon Trent valuers.
Logan was the the leasehold owner of a high value apartment in Burton upon Trent being sold with a lease of fraction over 59 years unexpired. Logan on an informal basis spoke with his freeholder a well known Bristol-based freehold company and enquired on a premium to extend the lease. The freeholder was prepared to give an extension on non-statutory terms taking the lease to 125 years on the basis of a new rent at the outset set at £100 per annum and increase every twenty five years thereafter. No ground rent would be payable on a lease extension were Logan to exercise his statutory right. Logan obtained expert advice and secured satisfactory deal informally and ending up with a market value flat.
Last Winter we were called by Mrs Niamh Anderson , who acquired a garden apartment in Burton upon Trent in June 2001. We are asked if we could estimate the price could be for a ninety year extension to my lease. Identical homes in Burton upon Trent with 100 year plus lease were valued around £181,600. The average amount of ground rent was £55 collected monthly. The lease came to a finish in 2078. Having 52 years as a residual term we estimated the compensation to the landlord for the lease extension to be between £30,400 and £35,200 exclusive of legals.
Mrs D Parker bought a one bedroom apartment in Burton upon Trent in July 1996. The question was if we could estimate the price would be for a ninety year lease extension. Comparative premises in Burton upon Trent with 100 year plus lease were valued around £290,000. The mid-range ground rent payable was £45 invoiced quarterly. The lease ended on 18 July 2098. Taking into account 72 years as a residual term we estimated the compensation to the landlord to extend the lease to be within £11,400 and £13,200 not including fees.