The market value of a leasehold property in Crabtree depends on how long the lease has remaining. If it is close to or fewer than eighty years you should envisage difficulties on re-sale, so it is advisable to arrange for the lease to be extended ahead of buying. It is preferable to start the lease extension process when a lease still has 82 years remaining so that all matters can be addressed ahead of the 80 year cut off point. Statute entitles Crabtree qualifying lessees to a 90 year extension added to their unexpired lease term (ie if your lease has fifty years left the statutory lease extension will provide a new term of 140 years). The reason of the valuation is to arrive at an opinion of the amount payable by the lessee to the freeholder for the acquisition of the lease extension.
It is conventional wisdom that a residential leasehold with in excess of 100 years unexpired lease term is worth approximately the same as a freehold. Where an further 90 years added to all but the shortest lease, the residence will be worth the same as a freehold for many years in the future.
| Lender | Requirement |
|---|---|
| Barclays plc | |
| Barnsley Building Society | |
| Coventry Building Society | |
| Nationwide Building Society | |
| Yorkshire Building Society |
Lease extensions in Crabtree can be a difficult process. We recommend you get professional help from a conveyancing solicitor and valuer well versed in the legislation and lease extension process.
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 in-depth market knowledge dealing with Crabtree lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
In 2014 Theo, started to get near to the 80-year mark with the lease on his studio apartment in Crabtree. Having bought his property 19 years ago, the lease term was of no significance. Fortunately, he noticed he would soon be paying an escalated premium for Extending the lease. Theo extended the lease just under the wire last September. Theo and the landlord in the end agreed on the final figure of £5,500 . If he failed to meet the deadline, the sum would have escalated by a minimum £1,075.
Mrs Sophie Turner was assigned a lease of a one bedroom apartment in Crabtree in February 1998. The question was if we could shed any light on how much (roughly) compensation to the landlord could be for a 90 year extension to my lease. Identical residencies in Crabtree with a long lease were in the region of £250,400. The mid-range ground rent payable was £65 billed every twelve months. The lease expired on 21 March 2090. Taking into account 64 years unexpired we calculated the compensation to the freeholder to extend the lease to be between £19,000 and £22,000 plus legals.
Last Summer we were e-mailed by Mr Jonathan Collins , who acquired a first floor flat in Crabtree in May 2009. The question was if we could shed any light on how much (approximately) compensation to the landlord would likely be for a ninety year extension to my lease. Comparative homes in Crabtree with a long lease were valued about £189,000. The mid-range amount of ground rent was £55 billed per annum. The lease terminated on 26 October 2079. Taking into account 53 years as a residual term we calculated the compensation to the freeholder to extend the lease to be between £28,500 and £33,000 exclusive of professional charges.