The re-sale value of a leasehold property in Leagrave and Chalton depends on how many years the lease has remaining. If it is close to or fewer than 80 years you should anticipate difficulties on re-sale, so it is advisable to arrange for a lease extension prior to buying. It is ideal to start the process of extending the lease is when a lease still has 82 years to run so that a lease extension can be concluded ahead of the eighty year mark. Leasehold Reform legislation entitles Leagrave and Chalton qualifying lessees to an additional term of 90 years on top of the unexpired term, at a notional rent (zero ground rent). The intention of the valuation is to determine the amount payable by the lessee to the freeholder for the acquisition of the lease extension.
Leasehold properties in Leagrave and Chalton with in excess of 100 years left 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 home. In such situations there is often little upside in buying the reversionary interest unless savings on ground rent and service charges warrant it.
| Lender | Requirement |
|---|---|
| Barnsley Building Society | |
| Birmingham Midshires | |
| Santander | |
| The Mortgage Works | |
| Royal Bank of Scotland |
Retaining our service gives you increased control over the value of your Leagrave and Chalton leasehold, as your property will be more valuable and marketable in terms of lease length should you wish to sell. The lawyers that we work with have a wealth of experience of handling many hundreds of lease extensions or freehold purchase transactions.
Half a year ago George, came seriously close to the eighty-year threshold with the lease on his purpose- built flat in Leagrave and Chalton. Having bought his flat 18 years previously, the length of the lease was of minimal concern. by good luck, it dawned on him that he needed to take action soon on a lease extension. George extended the lease at the eleventh hour in July. George and the freeholder via the management company eventually agreed on a premium of £5,000 . If he had missed the deadline, the sum would have escalated by at least £900.
In 2014 we were e-mailed by Mr Aarav Stewart who, having purchased a one bedroom apartment in Leagrave and Chalton in April 1999. We are asked if we could approximate the price could be for a ninety year lease extension. Similar flats in Leagrave and Chalton with an extended lease were valued around £181,600. The mid-range ground rent payable was £55 invoiced yearly. The lease came to a finish in 2078. Given that there were 52 years as a residual term we estimated the premium to the landlord to extend the lease to be within £30,400 and £35,200 not including expenses.
Dr Isaac Fournier purchased a first floor flat in Leagrave and Chalton in June 2002. We are asked if we could shed any light on how much (roughly) premium could be for a 90 year lease extension. Comparative properties in Leagrave and Chalton with 100 year plus lease were in the region of £290,000. The mid-range ground rent payable was £45 billed annually. The lease terminated on 24 April 2099. Given that there were 73 years remaining we approximated the premium to the freeholder to extend the lease to be between £9,500 and £11,000 exclusive of legals.