Chances are that if you own a flat in Hale you actually own a long leasehold interest over your property
It is generally considered that a residential leasehold with in excess of one hundred years unexpired lease term is worth roughly the equivalent as a freehold. Where an further ninety years added to any lease with more than 35 years remaining, the property will be equivalent in value to a freehold for decades to come.
| Lender | Requirement |
|---|---|
| Birmingham Midshires | Minimum 70 years from the date of the mortgage. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
| Lloyds TSB Scotland | Minimum 70 years from the date of the mortgage. |
| Skipton Building Society | 85 years from the date of completion of the mortgage For Buy to Let cases: - lettings must not breach any of the lessee’s covenants; and - consent of the lessor to lettings must be obtained if necessary |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
Retaining our service will provide you enhanced control over the value of your Hale leasehold, as your property will be more valuable and marketable in terms of lease length should you decide to sell. The conveyancers that we work with are well versed in the legislation handling many hundreds of lease extensions or freehold purchase transactions.
After protracted discussions with the landlord of her purpose-built apartment in Hale, Jade initiated the lease extension process as the eighty year threshold was rapidly nearing. The legal work was finalised in September 2005. The landlord’s costs were kept to an absolute minimum.
Dr U Nguyen bought a basement apartment in Hale in March 2002. We are asked if we could estimate the compensation to the landlord would likely be for a 90 year extension to my lease. Identical residencies in Hale with 100 year plus lease were in the region of £205,000. The mid-range amount of ground rent was £50 invoiced annually. The lease concluded in 2104. Taking into account 79 years outstanding we approximated the premium to the freeholder to extend the lease to be between £8,600 and £9,800 plus legals.
In 2010 we were approached by Mr and Mrs. A Lefèvre who, having was assigned a lease of a purpose-built apartment in Hale in July 2006. We are asked if we could estimate the price could be to prolong the lease by 90 years. Comparative residencies in Hale with 100 year plus lease were valued around £275,000. The average amount of ground rent was £65 billed quarterly. The lease finished in 2093. Taking into account 68 years remaining we estimated the compensation to the freeholder to extend the lease to be between £12,400 and £14,200 not including professional charges.