The re-sale value of a leasehold property in Langford depends on how long the lease has left to run. If it is near to or less than 80 years you should expect difficulties on re-sale, so it is advisable to arrange for the lease to be extended ahead of buying. It is preferable to start the process of extending the lease is when the lease still has 82 years remaining so that a lease extension can be addressed well before the eighty year threshold. Leasehold Reform legislation enables Langford qualifying lessees to an additional term of ninety years on top of the existing term, at a notional rent (no ground rent). The purpose of the valuation is to determine the premium payable by the lessee to the freeholder for the acquisition of the lease extension.
Leasehold residencies in Langford with over 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 upside in buying the reversionary interest unless savings on ground rent and service charges justify it.
| Lender | Requirement |
|---|---|
| Birmingham Midshires | |
| Godiva Mortgages | |
| Leeds Building Society | |
| Nationwide Building Society | |
| Royal Bank of Scotland |
Engaging our service gives you better control over the value of your Langford leasehold, as your property will be more valuable and saleable in terms of lease length should you decide to sell. The conveyancing solicitors that we work with have a wealth of experience of handling many hundreds of lease extensions or freehold purchase transactions.
Last year Kyle, came dangerously close to the 80-year threshold with the lease on his garden flat in Langford. In buying his property two decades ago, the length of the lease was of little bearing. As luck would have it, he realised he would imminently be paying an inflated amount for Extending the lease. Kyle arranged for a lease extension at the eleventh hour in July. Kyle and the landlord eventually settled on the final figure of £5,000 . If he had missed the deadline, the sum would have become more costly by a minimum £1,150.
Ms Samantha Martin bought a studio flat in Langford in September 2008. We are asked if we could estimate the price would likely be for a 90 year extension to my lease. Comparative flats in Langford with 100 year plus lease were valued about £260,000. The mid-range amount of ground rent was £50 billed every twelve months. The lease ran out on 8 April 2098. Having 72 years remaining we calculated the compensation to the freeholder to extend the lease to be between £9,500 and £11,000 not including costs.
In 2011 we were phoned by Dr R Morris who, having took over the lease of a garden flat in Langford in February 2005. The dilemma was if we could estimate the premium would be to prolong the lease by an additional years. Identical residencies in Langford with 100 year plus lease were in the region of £256,600. The average amount of ground rent was £60 invoiced annually. The lease ended in 2078. Given that there were 52 years remaining we calculated the premium to the landlord to extend the lease to be within £39,000 and £45,000 plus legals.