When it comes to long leasehold property in Kirkheaton, you effectively rent it for a certain period of time. These days flat leases are usually granted for 99 years or 125. Many leasehold owners become complacent as this seems like a lengthy period of time, you may think about extending the lease sooner as opposed to later. Accepted thinking is that the shorter the lease is the cost of extending the lease increases markedly especially once there are fewer than eighty years left. Leasehold owners in Kirkheaton with a lease nearing 81 years remaining should seriously consider extending it sooner as opposed to later. Once a lease has less than eighty years remaining, under the current statute the landlord is entitled to calculate and charge a greater amount, based on a technical calculation, strangely termed as “marriage value” which is payable.
Leasehold premises in Kirkheaton with in excess of 100 years unexpired on the lease are sometimes 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 reversionary interest unless savings on ground rent and estate charges merit it.
| Lender | Requirement |
|---|---|
| Barnsley Building Society | 60 years from the date of the mortgage application subject to 35 years remaining at the end of the mortgage term. |
| Birmingham Midshires | Minimum 70 years from the date of the mortgage. |
| Halifax | Minimum 70 years from the date of the mortgage. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
| Yorkshire Building Society | 85 years from the date of completion of the mortgage. Please ensure that you explain the implications of a short term lease to the borrower. |
Engaging our service will provide you enhanced control over the value of your Kirkheaton leasehold, as your property will be more valuable and marketable in relation to the lease length should you decide to sell. The conveyancers that we work with have a in-depth market knowledge handling many hundreds of lease extensions or freehold purchase transactions.
During the course of the last few months Cameron, started to get close to the 80-year threshold with the lease on his purpose- built flat in Kirkheaton. In buying his flat two decades ago, the length of the lease was of no interest. by good luck, he noticed he would soon be paying an inflated amount for a lease extension. Cameron was able to extend his lease at the eleventh hour in June. Cameron and the landlord ultimately agreed on the final figure of £6,000 . If the lease had dipped lower than eighty years, the figure would have become more exhorbitant by a minimum £850.
Ms Isabelle Allen owned a basement apartment in Kirkheaton in February 1996. We are asked if we could approximate the premium could be to prolong the lease by an additional years. Similar flats in Kirkheaton with 100 year plus lease were worth £255,000. The mid-range amount of ground rent was £50 collected per annum. The lease came to a finish on 24 February 2096. Considering the 71 years unexpired we estimated the compensation to the freeholder to extend the lease to be between £9,500 and £11,000 not including fees.
In 2012 we were phoned by Mr and Mrs. T Simon who, having owned a recently refurbished apartment in Kirkheaton in October 1999. We are asked if we could shed any light on how much (roughly) premium would be for a 90 year extension to my lease. Identical premises in Kirkheaton with a long lease were worth £254,200. The mid-range ground rent payable was £60 billed quarterly. The lease expiry date was in 2076. Taking into account 51 years unexpired we estimated the premium to the landlord to extend the lease to be within £43,700 and £50,600 not including professional charges.