With a residential leasehold property in Langstone, you effectively rent it for a certain amount of time. Modern flat leases are usually granted for 99 years or 125. Many leasehold owners are unconcerned 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 number of years is the cost of extending the lease gets disproportionately more expensive notably when there are less than eighty years remaining. Anyone in Langstone with a lease drawing near to 81 years remaining should seriously think of extending it as soon as possible. Once the lease term has less than eighty years outstanding, under the relevant statute the freeholder is entitled to calculate and charge a greater premium, based on a technical calculation, known as “marriage value” which is payable.
It is conventional wisdom that a residential leasehold with more than one hundred years remaining is worth roughly the equivalent as a freehold. Where an further 90 years added to any lease with more than 45 years unexpired, the residence will be worth the same as a freehold for decades to come.
| Lender | Requirement |
|---|---|
| Accord Mortgages | |
| Barclays plc | |
| Barnsley Building Society | |
| Nationwide Building Society | |
| TSB |
The lawyers that we work with procure Langstone lease extensions and help protect your position. A lease extension can be arranged to be completed to coincide with a change of ownership so the costs of the lease extension are paid for using part of the sale proceeds. You really do need expert legal advice in this difficult and technical area of law. The conveyancer we work with provide it.
Blake was the the leasehold owner of a 2 bedroom flat in Langstone being marketed with a lease of a few days over 72 years unexpired. Blake informally contacted his freeholder being a well known local-based freehold company for a lease extension. The landlord was keen to give an extension on non-statutory terms taking the lease to 125 years on the basis of a new rent initially set at £150 per annum and increase every twenty five years thereafter. No ground rent would be due on a lease extension were Blake to invoke his statutory right. Blake procured expert advice and secured an acceptable deal informally and sell the flat.
In 2013 we were phoned by Mrs L Stewart who, having moved into a garden apartment in Langstone in October 2010. The dilemma was if we could shed any light on how much (approximately) premium would likely be to prolong the lease by an additional years. Similar residencies in Langstone with a long lease were valued about £193,400. The average ground rent payable was £65 invoiced every twelve months. The lease finished on 19 October 2085. Having 59 years unexpired we approximated the compensation to the landlord for the lease extension to be between £21,900 and £25,200 not including fees.
Last month we were called by Mr and Mrs. A Scott , who bought a recently refurbished apartment in Langstone in February 1996. We are asked if we could approximate the premium would be to prolong the lease by 90 years. Comparative premises in Langstone with 100 year plus lease were valued about £255,000. The average ground rent payable was £50 collected annually. The lease ran out in 2096. Taking into account 70 years left we approximated the premium to the landlord for the lease extension to be within £9,500 and £11,000 plus costs.