Heywood leases on residential properties are gradually losing value. The shorter the remaining lease term becomes, the less it is worth – and as a result any extension of the lease becomes more expensive. It is the case that most Heywood tenants have the right to extend their lease by an additional 90 years by virtue of the 1993 Leasehold Reform Act. Where you are a leasehold owner in Heywood you must check if your lease has between 70 and ninety years remaining. There are good reasons why a Heywood flat owner with a lease having around 80 years left should take steps to ensure that a lease extension is put in place without delay
Leasehold residencies in Heywood with in excess of one hundred years remaining on the lease are often regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your premises. In such circumstances there is often little upside in purchasing the freehold unless savings on ground rent and service charges merit it.
| Lender | Requirement |
|---|---|
| Coventry Building Society | |
| Halifax | |
| National Westminster Bank | |
| Nationwide Building Society | |
| Skipton Building Society |
Lease extensions in Heywood can be a difficult process. We recommend you get guidance from a conveyancing solicitor and surveyor well versed in the legislation and lease extension process.
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 Heywood 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 Alex, started to get near to the eighty-year mark with the lease on his leasehold apartment in Heywood. In buying his home two decades ago, the unexpired term was of no significance. Luckily, he noticed he would imminently be paying way over the odds for a lease extension. Alex arranged for a lease extension just in the nick of time in September. Alex and the freeholder via the management company ultimately agreed on the final figure of £6,000 . If the lease had dipped to less than eighty years, the amount would have increased by a minimum £950.
Last month we were called by Mr J Robinson , who was assigned a lease of a one bedroom flat in Heywood in June 1999. The dilemma was if we could shed any light on how much (roughly) price would be to prolong the lease by a further 90 years. Comparable residencies in Heywood with 100 year plus lease were valued about £260,000. The average amount of ground rent was £50 billed every twelve months. The lease lapsed on 28 March 2098. Considering the 72 years outstanding we calculated the premium to the freeholder to extend the lease to be within £9,500 and £11,000 not including expenses.
Last Spring we were approach by Mr Michael Johnson , who owned a newly refurbished apartment in Heywood in February 1997. The question was if we could shed any light on how much (approximately) price would be for a 90 year extension to my lease. Comparable homes in Heywood with a long lease were valued about £261,600. The average ground rent payable was £60 collected quarterly. The lease expired on 12 October 2078. Taking into account 52 years unexpired we calculated the compensation to the landlord for the lease extension to be between £39,000 and £45,000 plus costs.