There is no doubt about it a leasehold property in Groby and Ratby is a wasting asset as a result of the diminishing lease term. If the residual term has, more than one hundred years to run then this decrease may be negligible that being said there will become a stage when a lease has fewer than 80 years left as part of the premium you will incur is what is known as a marriage value. This could be significant. It is the primary reason why you should extend the lease without delay. Most flat owners in Groby and Ratby will qualify for this right; that being said a conveyancing solicitor will be able to confirm whether you qualify to extend your lease. In limited situations you may not qualify, the most frequent reason being that you have not been the owner of the property for two years.
Leasehold properties in Groby and Ratby with over 100 years remaining on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your property. In such circumstances there is often little to be gained by buying the freehold unless savings on ground rent and estate charges justify it.
| Lender | Requirement |
|---|---|
| Barclays plc | |
| National Westminster Bank | |
| Santander | |
| The Mortgage Works | |
| Yorkshire Building Society |
The lawyers that we work with undertake Groby and Ratby 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 lawyer we work with provide it.
16 months ago Hunter, came precariously close to the 80-year mark with the lease on his studio flat in Groby and Ratby. Having purchased his home 18 years previously, the unexpired term was of little importance. by good luck, he became aware that he needed to take steps soon on a lease extension. Hunter arranged for a lease extension just in the nick of time last January. Hunter and the freeholder subsequently agreed on an amount of £6,000 . If he failed to meet the deadline, the premium would have gone up by at least £875.
Last Christmas we were called by Ms Imogen Girard , who took over the lease of a ground floor flat in Groby and Ratby in July 2000. The question was if we could estimate the premium would likely be to prolong the lease by ninety years. Similar properties in Groby and Ratby with a long lease were valued about £257,800. The average amount of ground rent was £65 billed per annum. The lease elapsed in 2091. Considering the 65 years remaining we calculated the compensation to the freeholder for the lease extension to be between £17,100 and £19,800 plus fees.
In 2013 we were phoned by Mr Seth Martin who, having acquired a first floor flat in Groby and Ratby in March 1998. We are asked if we could shed any light on how much (approximately) premium would likely be to extend the lease by an additional years. Identical flats in Groby and Ratby with a long lease were valued around £191,400. The mid-range amount of ground rent was £55 collected every twelve months. The lease expiry date was in 2080. Given that there were 54 years remaining we calculated the compensation to the freeholder to extend the lease to be between £34,200 and £39,600 plus costs.