The value of Horfield leasehold residential property falls as the lease term becomes shorter and this will have an impact on its saleability. The expense of extending the lease can increase substantially once the unexpired lease term is less than 80 years
Leasehold residencies in Horfield with more than 100 years remaining on the lease are often regarded as a ‘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 upside in purchasing the freehold unless savings on ground rent and maintenance charges warrant it.
| Lender | Requirement |
|---|---|
| Halifax | |
| Nationwide Building Society | |
| TSB | |
| Royal Bank of Scotland | |
| Yorkshire Building Society |
Regardless of whether you are a tenant or a freeholder in Horfield,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 in-depth market knowledge and the close ties they enjoy with Horfield valuers.
Archie owned a studio apartment in Horfield on the market with a lease of just over 61 years outstanding. Archie on an informal basis contacted his freeholder being a well known London-based freehold company and enquired on a premium to extend the lease. The landlord indicated a willingness to extend the lease to 125 years subject to an increased rent to £200 yearly. No ground rent would be due on a lease extension were Archie to invoke his statutory right. Archie obtained expert legal guidance and secured satisfactory resolution without resorting to tribunal and ending up with a market value flat.
Mrs Danielle Peterson took over the lease of a recently refurbished flat in Horfield in May 2011. We are asked if we could estimate the premium would likely be to prolong the lease by a further 90 years. Identical residencies in Horfield with 100 year plus lease were in the region of £285,000. The average amount of ground rent was £45 collected yearly. The lease came to a finish in 2097. Given that there were 71 years outstanding we approximated the compensation to the landlord to extend the lease to be within £12,400 and £14,200 not including fees.
Mr and Mrs. A Roberts owned a recently refurbished apartment in Horfield in July 2001. We are asked if we could approximate the premium would be to prolong the lease by ninety years. Comparative homes in Horfield with a long lease were valued around £230,800. The average ground rent payable was £60 billed every twelve months. The lease came to a finish on 10 March 2086. Taking into account 60 years left we estimated the compensation to the freeholder for the lease extension to be between £24,700 and £28,600 not including legals.