Keswick leases on residential properties are gradually decreasing in value. The shorter the remaining lease term becomes, the less it is worth – and as a result any extension of your lease becomes more expensive. The majority of owners of residential leasehold property in Keswick enjoy rights under legislation to extend the terms of their leases. Where you are a leasehold owner in Keswick you must see if your lease has between 70 and 90 years remaining. There are compelling reasons why a Keswick leaseholder with a lease having around 80 years unexpired should take steps to ensure that a lease extension is effected without delay
Leasehold properties in Keswick with more than one hundred years unexpired on the lease are often referred to as ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your home. In such circumstances there is often little upside in purchasing the reversionary interest unless savings on ground rent and service charges warrant it.
| Lender | Requirement |
|---|---|
| Accord Mortgages | |
| Bank of Scotland | |
| Chelsea Building Society | |
| The Mortgage Works | |
| Royal Bank of Scotland |
Retaining our service gives you better control over the value of your Keswick leasehold, as your property will be more valuable and marketable in terms of lease length should you wish to sell. The conveyancers that we work with are well versed in the legislation handling many hundreds of lease extensions or freehold purchase transactions.
Following unsuccessful negotiations with the freeholder of her studio flat in Keswick, Ellen initiated the lease extension process as the eighty year threshold was rapidly coming. The legal work was finalised in May 2010. The landlord’s costs were restricted to less than 550 GBP.
Last Summer we were phoned by Ms Y Robinson , who completed a studio flat in Keswick in August 1998. The question was if we could estimate the premium would be for a ninety year lease extension. Identical properties in Keswick with an extended lease were worth £173,800. The average ground rent payable was £60 billed annually. The lease termination date was on 13 May 2081. Given that there were 55 years left we approximated the premium to the landlord to extend the lease to be between £31,400 and £36,200 plus costs.
Mr F Ali acquired a purpose-built flat in Keswick in January 1998. We are asked if we could estimate the compensation to the landlord could be to extend the lease by a further 90 years. Comparative residencies in Keswick with a long lease were valued about £235,200. The mid-range amount of ground rent was £45 invoiced annually. The lease came to a finish on 6 January 2092. Given that there were 66 years outstanding we approximated the premium to the freeholder to extend the lease to be between £12,400 and £14,200 plus fees.