The re-sale value of a leasehold property in Lanchester is impacted by how long the lease has remaining. If it is near to or less than eighty years you should envisage problems on re-sale, so it is advisable to arrange for the lease to be extended prior to purchasing. Ideally one should start the lease extension process when the lease still has 82 years unexpired so that all matters can be concluded in advance of the 80 year mark. Leasehold Reform legislation enables Lanchester qualifying lessees to acquire a lease extension of ninety years in addition to the remaining lease term at a peppercorn rent (that is, rent free). The intention of the valuation is to determine the premium payable by the lessee to the freeholder for the purchase of the lease extension.
Leasehold premises in Lanchester with in excess of 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 situations there is often little to be gained by buying the freehold unless savings on ground rent and estate charges warrant it.
| Lender | Requirement |
|---|---|
| Accord Mortgages | |
| Bank of Scotland | |
| Barnsley Building Society | |
| Godiva Mortgages | |
| Nationwide Building Society |
Lease extensions in Lanchester can be a difficult process. We recommend you procure professional help from a conveyancer and surveyor with experience in lease extensions.
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 in-depth market knowledge dealing with Lanchester lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Following lengthy negotiations with the landlord of her one bedroom apartment in Lanchester, Sian commenced the lease extension process just as her lease was nearing the crucial 80-year mark. The transaction completed in July 2011. The freeholder’s fees were kept to an absolute minimum.
Last Winter we were contacted by Dr W Jackson , who bought a purpose-built flat in Lanchester in February 1995. We are asked if we could approximate the price could be for a ninety year lease extension. Comparable residencies in Lanchester with an extended lease were worth £264,000. The average ground rent payable was £60 billed per annum. The lease finished in 2079. Taking into account 53 years left we approximated the premium to the freeholder for the lease extension to be between £37,100 and £42,800 exclusive of expenses.
In 2012 we were contacted by Ms Daisy Gray who, having completed a recently refurbished apartment in Lanchester in July 2006. The dilemma was if we could approximate the compensation to the landlord could be for a ninety year lease extension. Comparative properties in Lanchester with a long lease were worth £225,400. The mid-range ground rent payable was £45 billed monthly. The lease termination date was on 20 February 2090. Having 64 years as a residual term we estimated the compensation to the freeholder to extend the lease to be between £15,200 and £17,600 exclusive of costs.