The market value of a leasehold property in Hurst Green depends on how long the lease has remaining. If it is near to or fewer than 80 years you should expect difficulties on re-sale, so it is recommended to arrange for a lease extension before purchasing. It is preferable to start the lease extension process when the lease still has 82 years to run so that formalities can be finalised in advance of the eighty year mark. Current legislation entitles Hurst Green qualifying lessees to a ninety year extension added to their remaining lease term (ie if your lease has fifty years remaining the statutory lease extension will provide a new term of 140 years). The reason of the valuation is to arrive at an opinion of the premium payable by the lessee to the freeholder for the purchase of the lease extension.
Leasehold residencies in Hurst Green with in excess of 100 years unexpired 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 property. In such circumstances there is often little upside in purchasing the freehold unless savings on ground rent and service charges justify it.
| Lender | Requirement |
|---|---|
| Barclays plc | |
| Chelsea Building Society | |
| Coventry Building Society | |
| Godiva Mortgages | |
| Virgin |
Irrespective of whether you are a tenant or a freeholder in Hurst Green,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 Hurst Green valuers.
Ben was the the leasehold proprietor of a 2 bedroom flat in Hurst Green on the market with a lease of fraction over 59 years remaining. Ben on an informal basis contacted his freeholder a well known Bristol-based freehold company and enquired on a premium to extend the lease. The freeholder was keen to agree an extension on non-statutory terms taking the lease to 125 years on the basis of a rise in the rent to £100 per annum. Ordinarily, ground rent would not be payable on a lease extension were Ben to exercise his statutory right. Ben procured expert advice and secured an acceptable resolution without resorting to tribunal and sell the property.
In 2011 we were contacted by Mr and Mrs. C Dupont who, having was assigned a lease of a one bedroom apartment in Hurst Green in June 1995. We are asked if we could shed any light on how much (roughly) premium would likely be for a ninety year lease extension. Similar flats in Hurst Green with 100 year plus lease were in the region of £300,000. The average ground rent payable was £50 invoiced quarterly. The lease came to a finish on 5 March 2101. Considering the 75 years remaining we calculated the compensation to the freeholder for the lease extension to be within £8,600 and £9,800 not including fees.
In 2014 we were e-mailed by Mrs U Clark who, having completed a basement flat in Hurst Green in March 2011. We are asked if we could shed any light on how much (approximately) price would likely be to extend the lease by a further 90 years. Identical premises in Hurst Green with 100 year plus lease were in the region of £250,400. The average ground rent payable was £65 invoiced per annum. The lease concluded in 2090. Having 64 years as a residual term we calculated the compensation to the landlord to extend the lease to be between £19,000 and £22,000 plus legals.