The value of Claydon leasehold residential property falls as the lease term becomes shorter and this will have an impact on its saleability. The expense of extending the lease can increase materialy once the remaining term is less than 80 years
Leasehold residencies in Claydon with in excess of 100 years outstanding on the lease are sometimes referred to as ‘virtual freehold’. This is where the lease value the same as a freehold interest in your premises. In such situations there is often little upside in purchasing the reversionary interest unless savings on ground rent and maintenance charges merit it.
| Lender | Requirement |
|---|---|
| Chelsea Building Society | |
| Coventry Building Society | |
| Nationwide Building Society | |
| Santander | |
| The Mortgage Works |
The conveyancers that we work with procure Claydon lease extensions and help protect your position. A lease extension can be arranged to be completed to coincide with a change of ownership so the costs of the lease extension are paid for using part of the sale proceeds. You really do need expert legal advice in this difficult and technical area of law. The conveyancer we work with provide it.
Off the back of protracted correspondence with the freeholder of her two bedroom flat in Claydon, Rachel initiated the lease extension process as the eighty year mark was quickly nearing. The transaction was finalised in March 2008. The landlord’s costs were kept to an absolute minimum.
Last Spring we were contacted by Mr and Mrs. H Moreau , who moved into a studio flat in Claydon in November 2000. We are asked if we could shed any light on how much (roughly) price could be to extend the lease by an additional years. Identical properties in Claydon with a long lease were in the region of £189,000. The average amount of ground rent was £55 collected yearly. The lease expired in 2079. Given that there were 53 years left we calculated the compensation to the landlord to extend the lease to be between £28,500 and £33,000 exclusive of fees.
Mrs Ashleigh Morgan bought a ground floor flat in Claydon in January 2012. We are asked if we could shed any light on how much (roughly) price would be for a ninety year lease extension. Similar homes in Claydon with a long lease were in the region of £290,000. The average ground rent payable was £45 invoiced quarterly. The lease finished in 2099. Taking into account 73 years outstanding we estimated the premium to the landlord to extend the lease to be between £9,500 and £11,000 exclusive of legals.