On the balance of probabilities where you own a flat in Eastwood you actually own a long leasehold interest over your property
It is conventional wisdom that a residential leasehold with over one hundred years remaining is worth roughly the equivalent as a freehold. Where an additional ninety years added to any lease with more than 35 years left, the residence will be worth the same as a freehold for decades to come.
| Lender | Requirement |
|---|---|
| Barnsley Building Society | |
| Halifax | |
| Leeds Building Society | |
| TSB | |
| Virgin |
The lawyers that we work with handle Eastwood 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 conveyancing solicitor we work with provide it.
Arthur owned a conversion flat in Eastwood being sold with a lease of a little over sixty years outstanding. Arthur on an informal basis spoke with his freeholder a well known Bristol-based freehold company for a lease extension. The freeholder indicated a willingness to grant an extension taking the lease to 125 years on the basis of an increased rent to £100 per annum. No ground rent would be due on a lease extension were Arthur to exercise his statutory right. Arthur obtained expert legal guidance and secured an acceptable deal without resorting to tribunal and readily saleable.
In 2011 we were phoned by Mr and Mrs. W Dupont who, having moved into a one bedroom flat in Eastwood in March 2009. The dilemma was if we could shed any light on how much (approximately) price would be for a 90 year extension to my lease. Identical homes in Eastwood with an extended lease were valued around £285,000. The average amount of ground rent was £45 billed quarterly. The lease lapsed in 2097. Taking into account 71 years outstanding we approximated the premium to the landlord to extend the lease to be within £12,400 and £14,200 plus fees.
In 2009 we were called by Ms Poppy Garcia who, having owned a ground floor flat in Eastwood in October 2004. The dilemma was if we could shed any light on how much (roughly) compensation to the landlord would be for a ninety year lease extension. Comparative premises in Eastwood with an extended lease were in the region of £225,800. The average ground rent payable was £60 invoiced annually. The lease terminated on 12 June 2086. Considering the 60 years as a residual term we approximated the compensation to the freeholder for the lease extension to be within £25,700 and £29,600 plus fees.