The market value of a leasehold property in Fairwater depends on how long the lease has remaining. If it is near to or less than eighty years you should anticipate problems on re-sale, so it is recommended to arrange for a lease extension prior to buying. It is ideal to start the lease extension process when a lease still has 82 years remaining so that all matters can be addressed in advance of the 80 year threshold. Leasehold Reform legislation enables Fairwater qualifying lessees to obtain a new lease which will be for the balance of the existing lease plus a supplemental term of ninety years. The reason of the valuation is to determine the sum payable by the lessee to the freeholder for the purchase of the lease extension.
Leasehold residencies in Fairwater with more than one hundred years outstanding on the lease are often referred to as ‘virtual freehold’. This is where the lease value the same as a freehold interest in your home. In such situations there is often little upside in purchasing the reversionary interest unless savings on ground rent and estate charges justify it.
| Lender | Requirement |
|---|---|
| Accord Mortgages | |
| Bank of Scotland | |
| Barclays plc | |
| National Westminster Bank | |
| Virgin |
Lease extensions in Fairwater can be a difficult process. We recommend you obtain guidance from a lawyer and surveyor with experience in lease extensions.
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 procuring Fairwater lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
In recent months Lucas, started to get near to the 80-year mark with the lease on his garden apartment in Fairwater. Having purchased his home two decades ago, the lease term was of minimal bearing. As luck would have it, he noticed he would soon be paying an inflated amount for Extending the lease. Lucas extended the lease just ahead of time last May. Lucas and the freeholder eventually agreed on a premium of £5,500 . If he failed to meet the deadline, the premium would have escalated by a minimum £900.
Mr and Mrs. F Baker was assigned a lease of a one bedroom flat in Fairwater in June 1995. The question was if we could shed any light on how much (approximately) compensation to the landlord would be to extend the lease by a further 90 years. Identical flats in Fairwater with 100 year plus lease were worth £295,000. The average amount of ground rent was £45 collected yearly. The lease lapsed on 2 May 2100. Taking into account 74 years outstanding we estimated the compensation to the landlord for the lease extension to be between £8,600 and £9,800 plus costs.
Dr N Morris moved into a first floor apartment in Fairwater in May 2002. The question was if we could estimate the compensation to the landlord would be to extend the lease by an additional years. Comparative premises in Fairwater with 100 year plus lease were in the region of £243,000. The average amount of ground rent was £65 invoiced yearly. The lease ran out on 25 August 2089. Having 63 years remaining we calculated the compensation to the landlord to extend the lease to be within £20,000 and £23,000 not including professional charges.