The market value of a leasehold property in Flint Mountain depends on how long the lease has remaining. If it is near to or less than eighty years you should foresee difficulties 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 the lease still has 82 years to run so that all matters can be addressed ahead of the 80 year mark. Statute entitles Flint Mountain qualifying lessees to an additional term of ninety years in addition to the remaining term, at a peppercorn rent (zero ground rent). The purpose 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 Flint Mountain with over one hundred years left on the lease are sometimes 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 buying the freehold unless savings on ground rent and maintenance charges justify it.
| Lender | Requirement |
|---|---|
| Bank of Scotland | |
| Santander | |
| TSB | |
| The Mortgage Works | |
| Royal Bank of Scotland |
The lawyers that we work with undertake Flint Mountain 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.
Eliot owned a 2 bedroom apartment in Flint Mountain being sold with a lease of just over 61 years remaining. Eliot on an informal basis spoke with his freeholder being a well known London-based freehold company for a lease extension. The landlord indicated a willingness to extend the lease to 125 years subject to an increased rent to £50 yearly. Ordinarily, ground rent would not be payable on a lease extension were Eliot to exercise his statutory right. Eliot obtained expert legal guidance and was able to make an informed decision and handle with the matter and ending up with a market value flat.
Dr Harry Scott moved into a ground floor flat in Flint Mountain in August 2001. The question was if we could estimate the compensation to the landlord would be for a ninety year lease extension. Similar flats in Flint Mountain with an extended lease were worth £205,000. The average ground rent payable was £50 invoiced per annum. The lease ran out in 2105. Considering the 79 years outstanding we calculated the premium to the landlord to extend the lease to be within £8,600 and £9,800 plus fees.
Last Summer we were e-mailed by Ms S Murphy , who completed a ground floor apartment in Flint Mountain in November 1999. We are asked if we could shed any light on how much (approximately) compensation to the landlord would likely be for a ninety year lease extension. Identical properties in Flint Mountain with a long lease were in the region of £275,000. The average ground rent payable was £65 invoiced monthly. The lease ran out on 16 August 2094. Given that there were 68 years outstanding we estimated the compensation to the freeholder for the lease extension to be between £13,300 and £15,400 not including costs.