When it comes to residential leasehold premises in Cambourne, you are actually purchasing a right to live in a property for a set period of time. These days flat leases are usually granted for 99 years or 125. Many leasehold owners are unconcerned as this seems like a lengthy period of time, you may think about a lease extension sooner as opposed to later. The general rule is that the shorter the lease is the cost of extending the lease increases markedly particularly when there are fewer than eighty years left. Leasehold owners in Cambourne with a lease approaching 81 years left should seriously think of extending it sooner as opposed to later. Once the lease term has below 80 years outstanding, under the current statute the freeholder is entitled to calculate and levy a larger amount, based 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 remaining is worth roughly the same as a freehold. Where an additional ninety years added to all but the shortest lease, the property will be worth the same as a freehold for many years in the future.
| Lender | Requirement |
|---|---|
| Accord Mortgages | |
| Bank of Scotland | |
| Barnsley Building Society | |
| Coventry Building Society | |
| Virgin |
Regardless of whether you are a tenant or a landlord in Cambourne,the lease extension solicitors that we work with will always be happy to discuss any residential leasehold matters and offer you the benefit of their experience and the close ties they enjoy with Cambourne valuers.
Milo was the the leasehold proprietor of a high value flat in Cambourne on the market with a lease of a few days over sixty years left. Milo on an informal basis contacted his freeholder being a well known Bristol-based freehold company for a lease extension. The landlord indicated a willingness to extend the lease to 125 years on the basis of a new rent at the outset set at £150 per annum and doubled every twenty five years thereafter. No ground rent would be payable on a lease extension were Milo to exercise his statutory right. Milo procured expert advice and was able to make an informed judgement and deal with the matter and ending up with a market value flat.
Dr W Cox moved into a newly refurbished flat in Cambourne in April 2004. The dilemma was if we could shed any light on how much (roughly) price would likely be to extend the lease by a further 90 years. Identical residencies in Cambourne with 100 year plus lease were worth £242,600. The mid-range amount of ground rent was £45 collected quarterly. The lease elapsed in 2093. Considering the 67 years outstanding we approximated the compensation to the landlord for the lease extension to be between £11,400 and £13,200 plus legals.
In 2013 we were contacted by Mr and Mrs. V Wright who, having bought a garden flat in Cambourne in April 2009. We are asked if we could approximate the premium would likely be for a 90 year extension to my lease. Comparable premises in Cambourne with a long lease were worth £280,000. The mid-range amount of ground rent was £55 billed quarterly. The lease concluded in 2104. Taking into account 78 years remaining we calculated the compensation to the landlord for the lease extension to be between £13,300 and £15,400 not including legals.