The re-sale value of a leasehold property in Didsbury is impacted by how long the lease has left to run. If it is close to or less than 80 years you should anticipate problems on re-sale, so it is advisable to arrange for a lease extension before purchasing. It is preferable to commence the process of extending the lease is when a lease still has 82 years to run so that a lease extension can be finalised well before the eighty year mark. Current legislation entitles Didsbury qualifying lessees to acquire a new lease which will be for the current unexpired lease term plus an additional term of 90 years. The intention of the valuation is to arrive at an opinion of the amount payable by the lessee to the freeholder for the purchase of the lease extension.
It is conventional wisdom that a residential leasehold with in excess of 100 years unexpired lease term is worth roughly the same as a freehold. Where an additional 90 years added to any lease with more than 45 years unexpired, the property will be worth the same as a freehold for many years ahead.
| Lender | Requirement |
|---|---|
| Bank of Scotland | |
| Barclays plc | |
| Birmingham Midshires | |
| TSB | |
| Royal Bank of Scotland |
Lease extensions in Didsbury can be a difficult process. We recommend you get professional help from a lawyer 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 a wealth of experience procuring Didsbury 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 Zachary, started to get near to the 80-year mark with the lease on his first floor flat in Didsbury. Having purchased his property 19 years ago, the unexpired term was of little bearing. by good luck, he noticed he needed to take steps soon on Extending the lease. Zachary was able to extend his lease just under the wire in September. Zachary and the landlord ultimately agreed on a premium of £5,500 . If the lease had fallen below eighty years, the figure would have escalated by a minimum £875.
In 2013 we were contacted by Mrs E Clarke who, having acquired a first floor apartment in Didsbury in June 2008. The question was if we could estimate the premium would be to extend the lease by 90 years. Comparative homes in Didsbury with a long lease were valued around £213,600. The mid-range ground rent payable was £60 billed annually. The lease lapsed on 28 April 2083. Having 57 years remaining we estimated the premium to the freeholder for the lease extension to be between £30,400 and £35,200 exclusive of legals.
Dr Kelsey Sánchez was assigned a lease of a ground floor flat in Didsbury in April 2002. We are asked if we could estimate the price could be to prolong the lease by an additional years. Identical flats in Didsbury with 100 year plus lease were valued around £200,000. The mid-range ground rent payable was £50 collected quarterly. The lease lapsed on 24 May 2103. Considering the 77 years left we approximated the compensation to the landlord to extend the lease to be between £8,600 and £9,800 exclusive of costs.