The market value of a leasehold property in Kirkdale is impacted by how long the lease has remaining. If it is near to or fewer than eighty years you should envisage problems on re-sale, so it is advisable to arrange for the lease to be extended before purchasing. It is ideal to start the process of extending the lease is when a lease still has 82 years to run so that a lease extension can be finalised well before the 80 year threshold. Current legislation enables Kirkdale qualifying lessees to a ninety year extension added to their unexpired lease term (ie if your lease has 50 years left 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 amount payable by the lessee to the freeholder for the acquisition of the lease extension.
Leasehold premises in Kirkdale with more than one hundred years left on the lease are often regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your home. In such situations there is often little to be gained by purchasing the freehold unless savings on ground rent and service charges justify it.
| Lender | Requirement |
|---|---|
| Accord Mortgages | |
| Bank of Scotland | |
| Barclays plc | |
| Barnsley Building Society | |
| Leeds Building Society |
Lease extensions in Kirkdale can be a difficult process. We recommend you get guidance from a lawyer and valuer with experience in this area.
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 a wealth of experience procuring Kirkdale lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Oliver owned a 2 bedroom flat in Kirkdale being sold with a lease of a few days over 72 years left. Oliver informally spoke with his freeholder a well known London-based freehold company and enquired on a premium to extend the lease. The freeholder indicated a willingness to grant an extension taking the lease to 125 years on the basis of an increased rent to £200 yearly. Ordinarily, ground rent would not be payable on a lease extension were Oliver to exercise his statutory right. Oliver obtained expert advice and secured satisfactory deal without resorting to tribunal and ending up with a market value flat.
In 2009 we were phoned by Dr Alisha Girard who, having completed a garden flat in Kirkdale in February 1996. We are asked if we could shed any light on how much (approximately) premium would be for a 90 year extension to my lease. Comparable premises in Kirkdale with 100 year plus lease were worth £243,000. The average amount of ground rent was £65 billed yearly. The lease lapsed on 6 October 2089. Taking into account 63 years unexpired we estimated the premium to the landlord for the lease extension to be within £20,000 and £23,000 not including legals.
Last month we were phoned by Mr and Mrs. W Smith , who was assigned a lease of a purpose-built apartment in Kirkdale in September 2004. We are asked if we could estimate the compensation to the landlord could be for a ninety year extension to my lease. Comparable properties in Kirkdale with 100 year plus lease were valued around £181,600. The mid-range ground rent payable was £55 invoiced monthly. The lease lapsed in 2078. Considering the 52 years unexpired we estimated the compensation to the landlord for the lease extension to be between £30,400 and £35,200 not including professional charges.