It’s a harsh truth that a Leiston residential lease is a deteriorating asset. As the lease term reduces so does the value of the property. The extent of this is not fully appreciated in the early years due to the depreciation being disguised by increases in the Leiston property prices.Where your lease has approximately 90 years left, you should start thinking about a lease extension. An important point to note is that it is desirable for lease extension to take place before the term of the existing lease dips lower than 80 years - otherwise a higher premium will be due. Most flat owners in Leiston will be able to extend under the legislation; however a conveyancing solicitor will be able to clarify whether you qualify for an extension. In some cases you may not qualify. There are also strict deadlines and procedures to be adhered to once the process is instigated and you will need to be guided by your conveyancer throughout the formalities.
It is conventional wisdom that a residential leasehold with over one hundred years unexpired lease term is worth approximately the equivalent as a freehold. Where an further 90 years added to all but the shortest lease, the property will be worth the same as a freehold for decades to come.
| Lender | Requirement |
|---|---|
| Accord Mortgages | |
| Bank of Scotland | |
| Birmingham Midshires | |
| Halifax | |
| The Mortgage Works |
Lease extensions in Leiston can be a difficult process. We recommend you procure professional help from a conveyancing solicitor and valuer 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 a wealth of experience dealing with Leiston lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
After protracted correspondence with the landlord of her first floor apartment in Leiston, Isabel started the lease extension process just as the lease was coming close to the critical 80-year deadline. The lease extension was concluded in May 2012. The freeholder’s costs were kept to an absolute minimum.
Mr and Mrs. U Campbell owned a one bedroom flat in Leiston in August 2003. We are asked if we could shed any light on how much (roughly) price could be to prolong the lease by an additional years. Comparable flats in Leiston with a long lease were in the region of £176,200. The average amount of ground rent was £65 collected quarterly. The lease lapsed in 2082. Taking into account 56 years left we approximated the compensation to the landlord for the lease extension to be within £29,500 and £34,000 not including costs.
Dr F Anderson acquired a newly refurbished flat in Leiston in May 2005. The dilemma was if we could approximate the premium would likely be for a ninety year extension to my lease. Similar flats in Leiston with 100 year plus lease were in the region of £242,600. The mid-range ground rent payable was £45 billed per annum. The lease terminated in 2093. Given that there were 67 years left we calculated the compensation to the freeholder to extend the lease to be within £11,400 and £13,200 not including costs.