Owning a flat usually means owning a lease of the property, this is a ‘time-limited’ interest becoming shorter every day. The lease will normally be granted for a fixed period of time , ordinarily 99 or 125 years, although we have seen longer and shorter terms in High Wycombe. Clearly, the length of lease left reduces over time. This may pass by relatively unnoticed when the flat or house has to be sold or refinanced. The fewer the years remaining the less it is worth and the more expensive it will be to obtain a lease extension. Qualifying long lease owners in High Wycombe have the right to extend the lease for a further ninety years in accordance with legislation. Do give careful consideration before putting off your High Wycombe lease extension. Putting off that expense now likely increases the price you will eventually incur to extend your lease
It is generally considered that a residential leasehold with over one hundred years remaining is worth approximately the equivalent as a freehold. Where an further 90 years added to any lease with more than 45 years left, the residence will be equivalent in value to a freehold for many years in the future.
| Lender | Requirement |
|---|---|
| Barnsley Building Society | |
| Godiva Mortgages | |
| Leeds Building Society | |
| Santander | |
| Royal Bank of Scotland |
Regardless of whether you are a tenant or a landlord in High Wycombe,the lease extension solicitors that we work with will always be happy to discuss any residential leasehold matters and offer you the benefit of their experience and the close ties they enjoy with High Wycombe valuers.
Lewis owned a high value flat in High Wycombe on the market with a lease of a few days over 61 years unexpired. Lewis informally approached his landlord being a well known Bristol-based freehold company for a lease extension. The freeholder indicated a willingness to grant an extension taking the lease to 125 years on the basis of a new rent to start with set at £200 per annum and doubled every twenty five years thereafter. No ground rent would be payable on a lease extension were Lewis to invoke his statutory right. Lewis procured expert legal guidance and was able to make a more informed judgement and handle with the matter and sell the property.
In 2010 we were called by Ms H Smith who, having bought a garden apartment in High Wycombe in February 2005. The dilemma was if we could estimate the price would likely be for a ninety year extension to my lease. Similar flats in High Wycombe with an extended lease were in the region of £257,800. The average ground rent payable was £65 billed monthly. The lease end date was in 2091. Having 65 years left we estimated the compensation to the landlord to extend the lease to be between £18,100 and £20,800 exclusive of fees.
Last Christmas we were phoned by Mrs Alexandra Nelson , who completed a purpose-built flat in High Wycombe in February 1997. The question was if we could shed any light on how much (roughly) price could be for a ninety year extension to my lease. Comparable homes in High Wycombe with an extended lease were worth £191,400. The mid-range ground rent payable was £55 collected quarterly. The lease expired in 2080. Considering the 54 years outstanding we calculated the premium to the landlord for the lease extension to be between £34,200 and £39,600 exclusive of costs.