With a domestic leasehold premises in Great Linford, you effectively rent it for a certain period of time. These days flat leases typically tend to be for 99 years or 125. Many leasehold owners are unconcerned as this seems like a long period of time, you may think about extending the lease sooner as opposed to later. Accepted thinking is that the shorter the number of years is the cost of extending the lease gets disproportionately greater especially when there are less than eighty years left. Residents in Great Linford with a lease nearing 81 years remaining should seriously think of extending it sooner rather than later. Once the lease term has fewer than 80 years outstanding, under the current statute the landlord is entitled to calculate and charge a greater premium, assessed on a technical computation, strangely termed as “marriage value” which is due.
Leasehold residencies in Great Linford with over 100 years left on the lease are often referred to as ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your home. In such situations there is often little to be gained by buying the freehold unless savings on ground rent and estate charges merit it.
| Lender | Requirement |
|---|---|
| Accord Mortgages | |
| Bank of Scotland | |
| Godiva Mortgages | |
| Skipton Building Society | |
| The Mortgage Works |
Regardless of whether you are a tenant or a landlord in Great Linford,the lease extension lawyers that we work with will always be happy to discuss any residential leasehold matters and offer you the benefit of their in-depth market knowledge and the close ties they enjoy with Great Linford valuers.
In recent months Caleb, started to get close to the eighty-year mark with the lease on his basement apartment in Great Linford. In buying his flat 18 years ago, the lease term was of little significance. Thankfully, he recognised he would soon be paying way over the odds for Extending the lease. Caleb arranged for a lease extension just in the nick of time last May. Caleb and the landlord who owned the flat above subsequently settled on a premium of £5,500 . If the lease had dropped to less than 80 years, the figure would have escalated by at least £900.
In 2013 we were contacted by Dr P Petit who, having acquired a studio apartment in Great Linford in April 2009. The dilemma was if we could estimate the price would be for a ninety year extension to my lease. Comparable flats in Great Linford with an extended lease were worth £208,600. The average amount of ground rent was £60 invoiced monthly. The lease end date was on 23 April 2083. Having 57 years unexpired we approximated the premium to the freeholder for the lease extension to be within £30,400 and £35,200 not including expenses.
Last Summer we were contacted by Dr B Lefebvre , who was assigned a lease of a studio flat in Great Linford in September 1995. The dilemma was if we could approximate the premium would likely be for a ninety year lease extension. Comparative properties in Great Linford with an extended lease were in the region of £200,000. The average ground rent payable was £50 invoiced monthly. The lease expiry date was in 2103. Considering the 77 years unexpired we approximated the premium to the landlord to extend the lease to be within £8,600 and £9,800 plus expenses.