Ladywell leases on residential properties are gradually losing value. The shorter the remaining lease term becomes, the less it is worth – and accordingly any extension of the lease gets more expensive. Most owners of residential leasehold property in Ladywell enjoy rights under legislation to extend the terms of their leases. Where you are a leasehold owner in Ladywell you would be well advised to investigate if your lease has between seventy and ninety years left. In particular once the remaining lease term slips under 80 years, the compensation to the landlord for any lease extension sharply increases as an element of the premium you pay is what is known as a marriage value
Leasehold residencies in Ladywell with over 100 years outstanding on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your premises. In such situations there is often little upside in purchasing the reversionary interest unless savings on ground rent and estate charges warrant it.
| Lender | Requirement |
|---|---|
| Accord Mortgages | |
| Chelsea Building Society | |
| Leeds Building Society | |
| TSB | |
| Yorkshire Building Society |
Retaining our service gives you enhanced control over the value of your Ladywell leasehold, as your property will be more valuable and saleable in terms of lease length should you want to sell. The conveyancing solicitors that we work with have a in-depth market knowledge handling many hundreds of lease extensions or freehold purchase transactions.
After lengthy discussions with the freeholder of her one bedroom apartment in Ladywell, Shannon commenced the lease extension process as the eighty year threshold was quickly advancing. The transaction was finalised in February 2006. The freeholder’s costs were kept to an absolute minimum.
Last year we were contacted by Mr and Mrs. G Pérez , who was assigned a lease of a studio flat in Ladywell in October 2003. The question was if we could approximate the premium would be to extend the lease by a further 90 years. Identical residencies in Ladywell with 100 year plus lease were in the region of £193,400. The average amount of ground rent was £65 collected monthly. The lease lapsed in 2085. Considering the 59 years unexpired we approximated the premium to the freeholder to extend the lease to be within £21,900 and £25,200 not including expenses.
An example of a Freehold Enfranchisement matter before the tribunal for a Ladywell flat is 44 Elmer Road in January 2013. The Tribunal dacied that amount to be paid by the Leaseholders for the Landlords freehold reversion was £12,951 as at the valuation date (20" September 2012).This matter was referred back to the Bromley County Court to deal with costs, fees and any other outstanding matters. This case was in relation to 2 flats. The unexpired term as at the valuation date was 74.25 years.